Homes Worth $1 Million or More Are Now the Standard in 550 Cities
- Student Loan Debt Has Forced Over 70% of Borrowers to Delay Major Life Events
- 5 Tips to Help You Save Money on Soaring Car Repair Costs
- Airlines Must Give Cash Refunds for Canceled Flights Under New Rule
- True or False? Gas Prices Always Fall During Election Seasons
- The Surprising Way Inflation Can Be Good for People With Debt
- Here’s Why a Gas Tax Holiday Isn't as Great as It Sounds
- Gas Prices Are Over $4 in Every State for the First Time
- 7 Strategies People Are Using to Combat High Gas Prices
- Gas Prices Just Passed $6 in a Major U.S. City for the First Time Ever
- Your State Taxes on Groceries, Income, Gas and More Could Soon Be Slashed
The typical home is now worth over $1 million in 550 U.S. cities — a figure that’s grown 12% in the last year, Zillow reports.
Many of the country’s most expensive real estate markets are in the largest metro areas. The New York City area alone has 106 cities with home values above $1 million, up from 82 a year ago. (This metro includes parts of New Jersey and Pennsylvania.)
According to the new data from Zillow, which estimates what existing homes are worth to create an index of home values, 210 of the cities with $1 million-plus homes are in California, up from 198 last year.
After New York City, the San Francisco and Los Angeles metro areas have the next most $1 million cities, with 69 and 63, respectively. The count is unchanged for San Francisco compared to a year ago, while the Los Angeles area gained seven.
Find Your Actual Rate at Rocket Mortgage (NMLS #3030) Today!
View RatesOverall, the number of cities where the typical home is worth at least $1 million increased by 59 from a year ago, when the count was 491.
The typical home value in the U.S. is up 4.2% in the past year, rising from $335,200 to $349,200. While the increase in values means that many homeowners have gained home equity, it also means that mortgages are unaffordable for many potential buyers — especially considering that current mortgage rates are still nearly 7%.
"The housing market is tight with few homes available, and competition is still high for attractive homes," Zillow said in a report. "That competitive pressure is pushing home values higher across the U.S."
States with the most $1 million cities
Here's a list of the states that have the most cities where the typical home is worth $1 million or more:
- California: 210 cities (+12 in the last year)
- New York: 66 cities (+8)
- New Jersey: 49 cities (+14)
- Florida: 32 cities (-2)
- Massachusetts: 31 cities (+4)
- Colorado: 21 cities (unchanged)
- Washington: 18 cities (+2)
- Hawaii: 17 cities (+1)
- Texas: 14 cities (-1)
- Maryland: 10 cities (+2)
More from Money:
9 Best Home Equity Loans of April 2024
To Afford a Down Payment, Young Homebuyers Often Need 'a Pot of Family Money'
4 Best No-Appraisal Home Equity Loans of 2024