Local CFP, Local CPA, CFP Thomas F. Scanlon of Manchester, CT quoted by CNBC.com on July 5, 2022.
These 5 metros have the most million-dollar homes: If you’re selling, here’s what to know about the tax consequences
PUBLISHED TUE, JUL 5 20227:30 AM EDTUPDATED TUE, JUL 5 20227:39 AM EDT
Million-dollar homes aren’t common in the U.S., but you’re more likely to find these properties along the coasts.
That’s according to a LendingTree study that ranked the country’s 50 biggest metropolitan areas by the share of owner-occupied properties worth $1 million or more.
The average share of million-dollar owner-occupied homes in the 50 biggest metros is 4.71%. But in San Jose, California, 52.89% are worth $1 million or more, and in San Francisco, 40.37% are.
Other metros with the highest share of million-dollar properties included Los Angeles, San Diego, New York, Seattle, Boston, Washington, Miami and Denver.
By comparison, places like Buffalo, New York; Cleveland and Pittsburgh had the smallest share of million-dollar homes, representing less than 1% of owner-occupied properties.
Metros with the most million-dollar homes
- San Jose, California: 52.89%
- San Francisco: 40.37%
- Los Angeles: 18.55%
- San Diego: 13.52%
- New York: 10.53%
Metros with the fewest million-dollar homes
- Buffalo, New York: 0.56%
- Cleveland: 0.59%
- Pittsburgh: 0.67%
- Columbus, Ohio: 0.73%
- Cincinnati: 0.78%
The findings come amid growing concerns about housing affordability as mortgage rates spike.
The median home listing price nationwide reached a record $450,000 in June, up nearly 17% from the previous year, according to Realtor.com. Many Americans also have less buying power than a year ago, with 30-year fixed-rate mortgages hovering around 6% for so-called conforming loans of $647,200 or less.
Indeed, rising interest rates have cost homebuyers on a $3,500 monthly budget $165,000 in spending power since the end of 2021, a Redfin report found.