146 more U.S. cities pass the $1 million mark, the most ever in a single year

Rhea-AI Summary

Zillow data reveals that 146 U.S. cities achieved million-dollar city status in 2021, nearly tripling the count from 2020. The total now stands at 481 cities, with projections indicating 49 more may join by midyear. The surge in home values saw an average appreciation of 19.6%. Coastal regions dominate, with New York and San Francisco each housing 76 cities. Indian Creek, Florida tops the list as the most expensive city with a typical home value of $28.3 million, followed by Atherton, California at $7.7 million.

Positive

• 146 new million-dollar cities in 2021, indicating robust housing market growth.
• Average home appreciation of 19.6% signals strong demand and value increase.
• Indian Creek, Florida's typical home value at $28.3 million highlights high-end market strength.

Negative

• None.

SEATTLE, Feb. 16, 2022 /PRNewswire/ -- A record 146 U.S. cities became new "million-dollar cities" in 2021, Zillow data shows. There are now 481 cities in which the typical home value is at least $1 million. If current rates of appreciation hold, 49 more could join the $1 million club by midyear.

The number of cities that crossed the $1 million threshold in 2021 is almost triple that of cities reaching those heights in 2020, underscoring a record-setting year of home appreciation that saw the typical U.S. home gain 19.6% in value.

The majority of million-dollar cities are clustered within a few large coastal regions; the San Francisco and New York metro areas lead the way with 76 million-dollar cities each. The Los Angeles metro is third with 57 cities, and San Jose is fourth with 22. In total, 60% of all million-dollar cities lie within eight metro areas, and almost half (44%) are in California.

"The surge in demand for housing last year sent home values skyrocketing, even in places where prices already were sky-high, and that helped tip a record number of cities into the million-dollar club," said Jeff Tucker, Zillow senior economist. "The locations of these newly seven-figure towns bust the myth that everyone fled California and the Northeast last year, as California, Massachusetts and New York led the pack for the most new cities with home values above $1 million. Still, we're seeing how the geography of wealth in the U.S. has begun to shift, as 2021 was the first year for both Idaho and Montana to place any cities on this list, and now those Western states boast three million-dollar cities each."

Indian Creek, Florida, an exclusive 300-acre island in Biscayne Bay in Miami, is the most expensive city in the country, with a typical home value of around $28.3 million. The city has a total population of fewer than 100 residents, including a handful of high-profile celebrities such as Tom Brady and Gisele Bündchen. In the No. 2 spot is Atherton, a small town on the San Francisco Peninsula where the typical home value sits around $7.7 million. Hunts Point, Washington; Jupiter Island, Florida; and Sagaponack, New York fill out the top five, with typical home values of roughly $6 million each.

"With such sharp increases in home prices over the last year, we're seeing tons of demand come from current homeowners who've decided to tap into their home equity to move up into their dream home," said Erik Throm, an agent with Fast Real Estate in San Francisco. "But even expensive homes are moving quickly in this market, and shoppers should be prepared with a pre-qualification letter and the help of a trusted local agent who knows the pros and cons of their specific neighborhood and how to structure a winning bid that still protects a buyer in an incredibly competitive and high-priced market. "

Metros with the Most $1 Million Cities (December 2021)
Metro	Number of $1 Million Cities
New York, New York	76
San Francisco, California	76
Los Angeles, California	57
San Jose, California	22
Boston, Massachusetts	18
Seattle, Washington	16
Miami, Florida	14
Washington, D.C.	11
Santa Maria–Santa Barbara, California	9
Santa Rosa, California	9

 

Growth of $1 Million Cities
Year	Total Number of $1 Million Cities	Number of Net New $1 Million Cities1
2021	481	145
2020	336	51
2019	285	-7
2018	292	20
2017	272	38
2016	234	17
2015	217	16
2014	201	22
2013	179	40
2012	139	13
2011	126	-16

 

Top 10 Most Expensive Cities
2021	2021 Typical Home Value	2011	2011 Typical Home Value
1.    Indian Creek, Florida	$28,326,518	Indian Creek, Florida	$15,558,572
2.    Atherton, California	$7,698,328	Atheron, California	$3,827,781
3.    Hunts Point, Washington	$7,013,823	Jupiter Island, Florida	$3,101,817
4.    Jupiter Island, Florida	$6,852,623	Sagaponack, New York	$3,073,341
5.    Sagaponack, New York	$5,957,385	Belvedere, California	$2,824,324
6.    Hillsborough, California	$5,369,777	Hunts Point, Washington	$2,567,069
7.    Los Altos Hills, California	$5,250,550	Hillsborough, California	$2,552,220
8.    Golden Beach, Florida	$5,178,527	Los Altos Hills, California	$2,497,842
9.    Belleair Shore, Florida	$4,966,651	Montecito, California	$2,424,874
10.  Belvedere, California	$4,689,895	Golden Beach, Florida	$2,364,450

About Zillow Group

Zillow Group Inc. (NASDAQ: Z and ZG) is reimagining real estate to make it easier to unlock life's next chapter.

As the most visited real estate website in the United States, Zillow® and its affiliates offer customers an on-demand experience for selling, buying, renting or financing with transparency and nearly seamless end-to-end service. Zillow Home Loans™, our affiliate lender, provides our customers with an easy option to get pre-approved and secure financing for their next home purchase. In September 2020, Zillow launched Zillow Homes, Inc., a licensed brokerage entity, to streamline Zillow Offers transactions. 

Zillow Group's affiliates and subsidiaries include Zillow®, Zillow Offers®, Zillow Premier Agent®, Zillow Home Loans™, Zillow Closing Services™, Zillow Homes Inc., Trulia®, Out East®, ShowingTime®, Bridge Interactive®, dotloop®, StreetEasy® and HotPads®. Zillow Home Loans LLC is an Equal Housing Lender, NMLS #10287 (www.nmlsconsumeraccess.org).

¹ Editor's note: One city lost its million-dollar city status in 2021, so the net change is 145, even though there were 146 new cities on the list.

 

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SOURCE Zillow

FAQ

What does the Zillow press release on February 16, 2022, report about million-dollar cities?

The press release reports that 146 U.S. cities became million-dollar cities in 2021, raising the total to 481.

How much did the typical home value increase in 2021 according to Zillow?

The typical home value increased by 19.6% in 2021.

Which U.S. metro areas have the most million-dollar cities?

New York and San Francisco each have 76 million-dollar cities.

What is the typical home value of the most expensive city in the U.S.?

The most expensive city, Indian Creek, Florida, has a typical home value of approximately $28.3 million.

How many new million-dollar cities joined the list in 2021?

A total of 146 new million-dollar cities joined the list in 2021.