As the overall real estate market faces challenges due to rising interest rates and low inventory, the luxury sector stands out by posting its best year-over-year gains in three years. This divergence is primarily driven by affluent buyers who are purchasing homes with cash, making them less vulnerable to high mortgage rates. Consequently, median luxury-home prices continue to surge, hitting an all-time record, while the number of luxury homes available for sale increases. However, not all luxury markets are experiencing equal growth, and Providence, Rhode Island is currently the top performer in this sector.