Luxury home appreciation couldn’t keep up with entry-level or mid-market appreciation beyond June
They say wealthy people are no different than those of us with a more modest net worth; their butlers put their pants on one leg at a time. And while owning a gaggle of European sports cars and having a large, comfortable custom home might seem like the American Dream to many of us, entry-level and mid-market homes still have at least one thing over their luxury counterparts; home value appreciation.
After keeping pace with mid-market and entry-level zip codes for the first half of the year, the median home value growth for luxury zip codes slowed from July 2015 until the end of the year, according to Zillow.
The national median home value in mid-market zip codes grew 5 percent in 2015. For the entry-level market that number was similar at 4.7 percent. Luxury markets didn't fare so well, only growing 3.3 percent in 2015.
There were several converging factors that worked to slow the luxury market in 2015.