Boston’s Luxury Real Estate Market Booms Despite Massachusetts’ ‘Millionaire Tax’

The luxury real estate market appeared to rebound in December 2024 as buyers and sellers re-emerged from a post-election hiatus. Despite Massachusetts' "millionaires tax," which taxes an additional 4% on taxable income over $1 million, real estate brokers say that buyers are still committed to owning property in Boston, although some may want to spend a little less on their purchase.

“If Boston isn't the true hub, those who would have spent $10 million might now spend $8 million, and those who would have spent $15 million might spend $12 million,” said Maggie Gold Seelig, founder of MGS Real Estate Group, in an interview with Boston.com. “People who want to live in Boston don't care about taxes in the end.”

Regardless of what buyers are willing to spend, condominiums with amenities housed in Boston's historic neighborhoods are facing an increased demand. Empty-nesters moving into Boston, however, are looking for amenities similar to what they experienced in the suburbs. “A doorman or concierge to help with groceries and retrieve packages is important, but otherwise they prefer a more private experience.”

Brokers surveyed have identified the following top four luxury properties on the market in Boston and Cambridge listed at $7 million and higher:

39-41 Mount Vernon St., Unit V, Beacon Hill

300 Pier 4, Penthouse N, Seaport District

188 Brookline Ave., Penthouse 29A, Fenway

2 Garden Terrace on Observatory Hill