There's been a surge in the number of $1 million neighbourhoods according to a new analysis by Zillow
There's been a surge in the number of $1 million neighbourhoods according to a new analysis by Zillow.
Almost 1 in 20 residential ZIP Codes now have at least 10% of homes worth seven figures with a rise of 346 neighbourhoods since 2014. It puts the total of $1 million neighbourhoods at 1280, a 4% rise from the 958 in 2014.
"As home values reach new peaks, $1 million homes are increasingly common, even in neighborhoods once considered middle class," said Zillow's Chief Economist Dr. Svenja Gudell.
On the West Coast, there is a higher proportion of million dollar neighbourhoods including the San Francisco Metro where 74% of all ZIP Codes have at least 10% of homes have a 7-figure price tag. One in five of those have been added to the list since 2007.
By contrast St. Louis and Cincinnati - where the median home value is nearly $50,000 below the national level - no new million dollar neighbourhoods have been added over the past 10 years. In Las Vegas only one has been added since 2014.
"As home values hit seven figures in many neighborhoods, it's going to have real impacts on affordability for middle-class homeowners whose incomes haven't kept up, and this imbalance especially has implications for people on fixed incomes whose property taxes are rising along with their home value," added Dr Gudell.
Almost 1 in 20 residential ZIP Codes now have at least 10% of homes worth seven figures with a rise of 346 neighbourhoods since 2014. It puts the total of $1 million neighbourhoods at 1280, a 4% rise from the 958 in 2014.
"As home values reach new peaks, $1 million homes are increasingly common, even in neighborhoods once considered middle class," said Zillow's Chief Economist Dr. Svenja Gudell.
On the West Coast, there is a higher proportion of million dollar neighbourhoods including the San Francisco Metro where 74% of all ZIP Codes have at least 10% of homes have a 7-figure price tag. One in five of those have been added to the list since 2007.
By contrast St. Louis and Cincinnati - where the median home value is nearly $50,000 below the national level - no new million dollar neighbourhoods have been added over the past 10 years. In Las Vegas only one has been added since 2014.
"As home values hit seven figures in many neighborhoods, it's going to have real impacts on affordability for middle-class homeowners whose incomes haven't kept up, and this imbalance especially has implications for people on fixed incomes whose property taxes are rising along with their home value," added Dr Gudell.
