Two luxury housing markets are defying the broader cooldown that followed the pandemic boom, with home prices still climbing past their previous highs and average values remaining well into seven-figure territory.
Minneapolis, Minnesota, and Boise, Idaho, now stand out as the only two high-end markets where prices have risen above their pandemic-era peaks, even as major cities such as San Francisco have seen values retreat.
A new Realtor.com report found that Minneapolis led the way. As of February 2026, the city’s luxury home price threshold had climbed 5 percent above its pandemic peak, reaching roughly $1.12 million.
By May 2026, luxury home values were still hovering near that record level at about $1.10 million, even though the market’s highest point came after the main pandemic growth surge had already passed.
Realtor.com senior economist Anthony Smith said Minneapolis never experienced the kind of dramatic pandemic price spike seen in many other metro areas. Instead, he noted, the market posted a more moderate 17.6 percent increase that peaked in July 2023.
That steadier trajectory appears to have helped sustain momentum. “Continued appreciation has since pushed its luxury threshold 5 percent above that post-pandemic peak,” Smith said.
Boise’s luxury housing market has maintained its momentum beyond the pandemic era as well.
The City of Trees saw prices increase by 87.2 percent, reaching $1.31million in November 2023 and later climbing to a record $1.45million by February 2026.
Minneapolis, Minnesota , and Boise, Idaho, have seen home values rise since their pandemic-era peaks (Boise Pictured)
Boise’s luxury housing market saw prices increase by 87.2 percent, reaching $1.31million in November 2023 and later climbing to a record $1.45million by February 2026
‘The quantity of buyers and proven sales during the COVID rush brought stability and strength to this price range and created a stable and thriving luxury market,’ said Lysi Bishop to the outlet.
‘This segment of the market continues to be a bright spot in our overall local market.’
On the other side of the luxury market, the report found that five markets have fallen below their pre-pandemic baseline pricing.
San Francisco has dropped 14.2 percent after prices rose from a February 2020 baseline of $3.19million to a pandemic peak of $3.68million in May 2023.
Shockingly, the City by the Bay’s luxury threshold fell to $2.5million by February 2026.
‘San Francisco’s luxury tier sits $695,000 below its February 2020 baseline as of February 2026, the most extreme reversal of any market tracked,’ said Smith.
Additionally, markets such as San Jose, Denver, Kahului-Wailuku, and Urban Honolulu have also seen significant decreases.
Denver real estate agent Jim Merrion told Realtor.com: ‘The pandemic run-up in Denver took a decade of home price increases and compressed it into a two-year window.’
Minneapolis is up 5 percent above its pandemic peak as of February 2026, at approximately $1.12million
Minneapolis saw values in May 2026 remained close to their peak, reaching $1.10million despite the high point occurring outside the pandemic-growth period
‘Luxury sellers who think they can price their home at 2022 price levels are finding out the hard way the market isn’t responding to those peaks, and many who realize this are simply not listing.’
Outside of the Minneapolis and Boise markets is a ‘mini LA,’ where homebuyers are flocking from every corner of America, and a luxury lifestyle is flourishing.
Phoenix is offering buyers a bargain, and it comes as a rising glut of listings around its greater metro area has forced price tags down by as much as 29 percent, according to April data from Realtor.com.
The sprawling Arizona city and its surrounding suburbs – collectively dubbed the Valley of the Sun for its year-round sunshine and luxury desert living – anchor a population of roughly five million. According to the real estate site, the median listing price for properties is $499,000.
