The D.C. metro is one of the most expensive luxury home markets with prices at $1.7 million.
The luxury home market is defined as homes priced in the top 5% of prices. In the D.C. metro, that has climbed to $1.7 million, making the region one of the most expensive luxury home markets.
Luxury home sales have outperformed the overall market in D.C. in recent years, but the pace of those sales slowed. In the first quarter, listing service Bright MLS reports pending sales of luxury homes were down 10.8% from a year ago, compared to a 2.8% annual drop for the overall market. It cites financial market volatility as one of the possible reasons.
There were a handful of eye-popping luxury home sales in the D.C. region in the first quarter topping $10 million, but the majority of the luxury market is $2 million or less.
In the D.C. region, that is no longer a “Lifestyles of the Rich and Famous” price. Families shopping in once fairly modest neighborhoods, such as Northwest D.C. and North Arlington, are faced with those prices.
“A home priced at $1.7 million or $1.8 million, that could be a family with two workers high up in the federal government or two federal government contractors. Maybe folks in our region we might consider part of the middle-class,” said Lisa Sturtevant, chief economist at Bright MLS.
Even those homes, despite a slowdown overall in the luxury market, sell quickly. Bright MLS reports luxury properties were on the market an average of 14 days in the first quarter, selling six days faster than a year ago, and 24.9% of luxury sales closed above list price.
The slowdown in the luxury market can serve as a barometer for the D.C. region’s overall economy.
“The Washington area has really benefitted from attracting highly-educated and highly-skilled workers, which bring higher incomes and support a really robust luxury market. I think as we move through the rest of the year, we are going to have to pay attention to whether we can still attract those types of workers and families,” Sturtevant said.
Below are the five most expensive home sales in the D.C. area in the first quarter:
Get breaking news and daily headlines delivered to your email inbox by signing up here.
© 2025 WTOP. All Rights Reserved. This website is not intended for users located within the European Economic Area.
