Ponte Vedra Beach’s luxury housing market is thriving, even as lower-priced homes struggle to sell, according to a new report.

The Wall Street Journal cited Redfin data showing that sales of non-luxury homes in the Jacksonville area dropped 12.6% in the second quarter compared to last year. However, sales of luxury homes—defined as the top 5% of the market by price—jumped 20.6% during the same period.

Redfin reported that this is the biggest gap between luxury and non-luxury sales in the entire country.

Record-Breaking Home Sales

The article mentioned several major home sales in Ponte Vedra Beach, including former T-Mobile CEO John Legere’s $22 million purchase of a mansion on Ponte Vedra Boulevard. This set a new record for St. Johns County, surpassing a previous $19 million sale in September 2023.

Another home on the same street sold for $17.85 million earlier this month, according to The Citizen.

Why Luxury Homes Are Selling Faster

The article pointed out that wealthy buyers are less concerned about high interest rates, while those looking for more affordable homes are more affected by rising monthly payments.

Even though luxury homes are still selling, some high-end properties have had to lower their prices. For example, Sunrise Villa, a 10-bedroom, 13.5-bathroom home, was originally listed for $16.96 million but has been reduced several times. It is now priced at $12.9 million.

Another home at 421 Ponte Vedra Boulevard recently sold for $9 million, after a $2 million price cut.

More Buyers Choosing North Florida

As housing prices in Miami and Palm Beach skyrocket, more wealthy buyers are looking at North Florida instead.

“People are realizing that a beachfront home in Miami Beach could cost $60 million, but here, you can get the best of the best for $20 million,” real estate agent Nick Petrillo told the Wall Street Journal.