The Reno Metro Area’s real estate market has seen major shifts over the past five years. But perhaps the most compelling story is at the high end. While rising interest rates and economic uncertainty have slowed parts of the housing market, the luxury segment has shown remarkable resilience — and its own unique behavior.
This post takes a data-driven look at Reno’s luxury housing market, comparing its performance to the broader market and exploring the key drivers behind its trajectory.
Defining the Luxury Market
For this analysis, “luxury” is defined as the top 5% of homes by price in the Reno Metro Area. This benchmark, commonly used by Redfin and Zillow®, provides a consistent way to track the high end of the market.1
- Q3 2025 luxury threshold: $1,555,000
- Q1 2020 luxury threshold: $874,440
In just five years, the entry point into Reno’s luxury tier has risen nearly 78%.
Chart: The luxury price threshold has nearly doubled since 2020.
Luxury vs. Non-Luxury: Key Comparisons
5-Year Price Growth: Luxury Outpaces the Market
- Non-luxury homes: $396,945 → $575,000 (+46.1%)
- Luxury homes: $1.2M → $2.15M (+79.1%)
Prices dipped briefly in 2022–2023 but quickly rebounded, showing sustained buyer confidence.
Chart: Luxury prices have far outpaced the broader market.
Days on Market: A Slower, Deliberate Pace
Luxury homes consistently take longer to sell:
- Average gap: +22 days longer than non-luxury homes.
- Correlation: 0.82 — market speed trends together, but luxury moves at its own rhythm.
Chart: Luxury homes take longer to sell even as both segments speed up or slow down together.
Sales Volume: A Stable Share of the Market
- Range: 13.8% – 17.7% of total sales volume
- 5-year average: 15.9%
- Q3 2025: 16.3%
In other words: the top 5% of homes by price account for ~16% of total sales volume.
Chart: Luxury sales volume has held a steady share of the overall market.
Inventory: A Tale of Two Markets
- Overall Reno Metro: 2.8 months of supply → strong seller’s market
- Luxury: 7.6 months → buyer’s market conditions
- Non-luxury: 2.6 months → still highly competitive for sellers
Buyer Behavior: Cash is King at the High End
- Entire Reno Metro: 24.6% cash purchases
- Non-luxury: 22.9% cash purchases
- Luxury: 56.5% cash purchases
Luxury buyers are less impacted by mortgage rates, making the segment more resilient to interest rate volatility.
Why Reno’s Luxury Market Stands Out
- California migration: Many Bay Area sellers roll equity into larger Reno properties — often paying cash.
- Tax advantages: Nevada’s lack of state income tax attracts high-net-worth individuals and remote workers.
- Lifestyle appeal: Proximity to Lake Tahoe, world-class skiing, and year-round outdoor recreation.
- Exclusive communities:
- Arrowcreek – resort-style living with two private golf courses.
- Montreux – gated, with a Jack Nicklaus signature golf course.
- Galena Forest Estates – large custom homes with a mountain retreat feel.
- Caughlin Ranch – established, scenic, with trails and city views.
Outlook: Steady Strength Ahead
- Outperformance: Luxury has outpaced non-luxury on price growth.
- Resilient demand: Strong share of sales volume despite broader shifts.
- Cash-rich buyers: Less sensitive to mortgage rates.
Looking ahead, Reno’s luxury segment is expected to remain stable and resilient, supported by ongoing migration, tax benefits, and lifestyle appeal. While the broader market may cool, the high end shows every sign of holding its ground.
1. Redfin and Zillow use the “top 5% by price” definition for luxury. For example, in a June 2025 analysis, Zillow used this metric to show the typical luxury home in the U.S. was worth about $1.8M nationwide. Similarly, Redfin’s June analysis used the same method and found that “There Are 7 Major Metros Where You Can Still Buy a Luxury Home For Less Than $1 Million. Five Years Ago There Were 30.”
The residential housing market data reported above covers the Reno Metro Area, including the cities of Reno, Nevada and Sparks, Nevada. Market data includes Single Family Residence (SFR) properties only. Data courtesy of the Northern Nevada Regional MLS – October 2, 2025. This information is deemed reliable, but not guaranteed.