You think that happens at wealth = $5 million? One high-end luxury house costs more than that.
As a reminder you said “almost anything highend / luxury becomes a commodity.”
Or look at this way: $5 million throws off $200k/year (pre-tax) with a “safe” pull rate of 4%. Ok so now you want to buy a luxury car, that’s over $100k. You’ve spent most of your annual income on one car. Hardly a commodity!
$5 million is enough to sustain an upper class income in most metro regions. But a long way from commodifying luxury.
There is a reason rich people lease a lot of times and buy things with borrowed money that they'll never have to pay back.