Lifestyle markets like Utah gain ground in luxury real estate, says Luxury Outlook Report

PARK CITY, Utah — Sotheby’s International Realty has released its 2026 Luxury Outlook Report, offering the brand’s most authoritative perspective yet on the trends shaping global luxury real estate. Following strong performance in 2025, the report shows luxury properties outperforming the broader housing market in both sales activity and value growth, with momentum expected to continue into 2026.

This year’s report delves into key trends shaping the luxury market, including the property priorities of today’s homebuyers, the growing interest in multigenerational living, security and privacy as essential features, and inventory levels and their implications for homebuyers and sellers.

A key theme is the growing divide between two real estate markets: luxury and non-luxury. While the broader housing sector remains sensitive to economic shifts, the luxury market has proven more resilient, supported by sustained global wealth creation and buyers less constrained by geography or short-term economic conditions.

That resilience is increasingly visible in lifestyle-driven markets such as Utah. Ski and outdoor-focused destinations are drawing domestic and international buyers seeking stability, long-term value, and quality of life. Cross-border transactions remain a major factor. According to a July 2025 National Association of Realtors report, foreign homebuyer activity for existing U.S. homes rose 44% year over year — the first increase since 2017 — with lifestyle markets like Utah among the fastest-growing destinations.

Inventory levels are also contributing to a healthier luxury market.

“Some good news from 2025 that bodes well for the luxury real estate market in 2026 is that inventory levels have rebounded to where they were pre-pandemic,” said A. Bradley Nelson, chief marketing officer for Sotheby’s International Realty. “A balanced real estate market is healthier and more sustainable, with more options for homebuyers.”

With greater balance, the report highlights the importance of timing. The so-called “first mover advantage” favors buyers and sellers who act decisively as market conditions shift.

Beyond fundamentals, the 2026 Luxury Outlook explores broader trends influencing high-end real estate decisions. Today’s luxury buyers prioritize multigenerational living, enhanced security and privacy, and lifestyle-driven choices that align with work, recreation and family priorities. The report also examines the unprecedented transfer of generational wealth, the impact of major sporting events like the upcoming Winter Games on host markets, and evolving travel and buying patterns that reflect where affluent buyers spend extended time rather than collecting properties in multiple locations.

Through its global network of affiliated agents, Sotheby’s International Realty offers insights into how these trends are unfolding locally and internationally. The report underscores that luxury real estate is about more than investment performance — it reflects lifestyle, legacy, and the experiences that define home for today’s affluent buyers.

Find the complete 2026 Luxury Outlook Report at sothebysrealty.com/luxuryoutlook/2026-luxury-outlook-report/.

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