Megacities with the most million dollar homes

Historic row houses in Columbia Heights, Washington.

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Million dollar homes are not common in the US, but you are more likely to find this property along the coast.

This is according to LendingTree research ranked among the nation’s 50 largest metropolitan areas by owner-occupied property value of $1 million or more.

The average share of million dollar private homes in the top 50 metropolitan areas is 4.71%. But in San Jose, California, 52.89% is worth $1 million or more, while in San Francisco it is 40.37%.

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Other metropolitan areas with the highest proportion of million dollar properties include Los Angeles, San Diego, New York, Seattle, Boston, Washington DC, Miami, and Denver.

In comparison, places like Buffalo, New York; Cleveland and Pittsburgh had the smallest proportion of million dollar homes, accounting for less than 1% of owner-occupied property.

Subway with the most million dollar homes

  1. San Jose, California: 52.89%
  2. San Francisco: 40.37%
  3. Los Angeles: 18.55%
  4. San Diego: 13.52%
  5. New York: 10.53%

Subway with the Fewest Million Dollar Houses

  1. Buffalo, New York: 0.56%
  2. Cleveland: 0.59%
  3. Pittsburgh: 0.67%
  4. Columbus, Ohio: 0.73%
  5. Cincinnati: 0.78%

Conclusions come in the background growing concerns about housing affordability as mortgage rates rise.

The average home listing price nationwide hit a record $450,000 in June, up nearly 17% from the previous year. according to Many Americans also have less purchasing power than a year ago, with 30-year fixed-rate mortgages hovering around 6% for so-called qualifying loans of $647,200 or less.

Indeed, raising interest rates has cost homebuyers with a monthly budget of $3,500 $165,000 in purchasing power since the end of 2021. Rudd report found.

How to Limit Tax Payments When Selling an Expensive Home

While profits from the sale of a home are considered capital gains, there is a $250,000 exemption for single applicants and $500,000 for married couples filing together, provided you meet certain requirements. One of the main rules to qualify for the program is that you must own the home and use it as your primary residence for two of the five years prior to sale.

If your income exceeds these exemption thresholds or you do not qualify, there are ways to reduce your tax burden.

Leslie Beck, a certified financial planner and owner of Compass Wealth Management in Rutherford, New Jersey, says many homeowners don’t realize that property improvements can be added to the value of a home or purchase price to reduce capital gains.

Some examples might include home extensions, patios, landscaping, new systems, and more. according to the tax office. But routine repairs and maintenance, such as painting or fixing leaks, don’t count.

“It’s helpful to have receipts to document these improvements,” said Thomas Scanlon, CFP and CPA at Raymond James in Manchester, Connecticut. “If you don’t have them, get a copy of the permission you need to do the job.”

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