World’s Least Affordable Cities Revealed—and US Tech Hub Named Toughest Place to Buy a Home
California dominates the world list, but in an expensive way.
The nine lowest-priced cities to buy a home in the United States are: San Jose, CA, Los Angeles, Long Beach, CA, San Diego, New York City, Miami, San Francisco, Boston, and Oakland, CA, according to a new study from Remitly.
“Home prices are high in many of these cities, especially California markets. On the other hand, this shows the desirability of these areas that offer high-paying jobs, a favorable climate, and access to natural and cultural resources,” it said. Danielle Halechief economist at Realtor.com®.
“On the other hand, this shows the inability of supply to keep up with this demand, which means that the market clears by pushing prices higher, although prices may remain high if the cost of bringing a home to the market is increased by the cost of compliance with regulation.”
The most expensive cities in the US
Six of the most expensive cities in California.
“A recent report by Realtor.com showed that home ownership in California has not always been affordable, but in order to get back that way, the state needs to take steps to make it easier to build,” Hale said.
Only three of the most expensive US cities to buy a home are outside of the Golden State, and New York City is one of them.
“In New York City, strong demand outstrips supply, driving prices higher in a market where proximity is an important indicator of value,” Hale said. “One of the things that stands out in this market is that prices have been normal for the past few months.”
Sunny Miami also made the list.
“Miami is an attractive market for outsiders because of its climate, opportunities, and favorable tax situation,” Hale said. “Recent data shows that more than a third (33.6%) of home buyers in Miami are from another state or region. In fact, 1 in 5 Miami buyers from another location are from the New York City area. Although Miami prices have grown, the median remains about a third below the New York City median price range.”
Boston is ranked as one of the most affordable US cities.
“Boston is a large city with above-average wages because of its high-skilled workforce and a larger-than-average share of industries that employ high-wage workers,” Hale said.
“As Boston attracts these workers and homebuyers from all over, its home values have increased. Construction in Boston and Massachusetts lags behind in terms of population compared to other states. In fact, Massachusetts received the lowest rating in our latest state report cards ranking for home purchases and new construction in large part because of its long area codes and highly diverse counties.”
The most expensive cities in the world
Eleven of the 20 most expensive cities in the world to buy a home are located outside of the United States.
Canada counts four of them: Vancouver, Toronto, Mississauga, and Brampton.
France, Portugal, and Spain each have two cities on the list: Paris and Nice in France; Lisbon and Porto in Portugal; and Madrid and Barcelona in Spain.
London is also among the most expensive cities in the world to own a home.
Top 9 unaffordable cities
Here’s a deep dive into the most expensive US metros below.
San Jose, CA
Median listing price: $1,195,000
Average days on market: 40
Median household income: $141,565
“San Jose is more expensive because there are dozens of high-income tech buyers all competing for a limited number of homes,” Alexander Kalaa San Jose-based real estate agent, tells Realtor.com. “We have a classic imbalance of supply and demand: Inventory is still below normal, and many existing owners are ‘locked in’ to ultralow. [COVID-19] Mortgage rates during the pandemic, so don’t write unless you have to. “
Los Angeles, CA
Median listing price: $1,025,000
Average days i market: 67
Median household income: $80,366
“Los Angeles remains one of the most affordable housing markets in the country because demand continues to outstrip supply, especially in neighborhoods and coastal areas,” it said. Cory Weissof Douglas Elliman in Beverly Hills. “Strong geopolitics, limited new inventory, and strong global interest are all contributing to price pressures in nearly every segment of the market.”
Long Beach, CA
Median listing price: $1,025,000
Average days i market: 67
Median household income: $83,969
“We have two seasons: summer and January, and everyone wants to live here,” the California real estate developer said Jameson Tyler Drew he tells Realtor.com. “But there are still too many people who aren’t getting enough housing. The mortgage and tax burdens are far from sustainable for a family trying to start life. With wages not keeping up with rising rents and mortgage payments, tons of big buyers are looking elsewhere for their future, and I don’t blame them.”
San Diego, CA
Median listing price: $899,000
Average days i market: 56
Median household income: $104,321
“The climate, the lifestyle, and the variety of things to do from the beaches to the mountains are the core of Southern California, and people pay a lot of money to live in a mild climate that allows you to make the most of this area,” a California real estate agent. Dear Ameerand Coldwell Banker, he tells Realtor.com. “Limited housing supply and high interest rates have both impacted prices. In many cases, it’s still cheaper to rent than to buy.”
New York City, NY
Median list price: $749,000
Average days i market: 76
Median household income: $79,713
“New York City has extraordinary culture, food, entertainment, and art, which is why people pay so much to live here,” Nikki Beauchampan associate broker with Sotheby’s International Realty in New York City, tells Realtor.com. “But New York City has a lot of challenges. Rent is very high, which means it can be difficult for people to save enough money to get a minimum payment.”
Miami, FL
Median list price: $749,000
Average days i market: 76
Median household income: $59,390
“Miami is expensive because the demand is not really decreasing,” said a real estate agent and investor Ron Myersof Ron Buys Florida Homes, tells Realtor.com. “People move there from other states and countries every year. You have warm weather, year-round beaches, nightlife, international business, and no state income tax. That combination keeps prices high. Many buyers aren’t just buying a home. They’re buying a lifestyle. They want to live near the water, be close to entertainment, and feel like they’re in a global city. Even when prices are going up.”
San Francisco, CA
Median list price: $859,000
Average days i market: 55
Median household income: $141,446
“San Francisco is the best place to live,” the real estate agent Ying Heof BarbCo in San Francisco, tells Realtor.com. “It’s long been one of the most expensive cities in the country—and for good reason. It’s easily one of the most beautiful cities in the world, and it’s a paradise for food lovers. The city is a real melting pot. Plus, there are a lot of job opportunities. For anyone working in tech or AI, there’s no better place to be.”
Boston, MA
Median list price: $760,000
Average days i market: 61
Median household income: $94,755
“Price pressure in Boston is not just about demand; it’s about how little inventory is trading,” George Sarkisfounder and CEO of The Sarkis Team at Douglas Elliman in Boston, tells Realtor.com. “Many prime neighborhoods are tightly held, with homeowners staying long and passing down properties from generation to generation. When limited profits meet continued demand from biotech, private equity, and international buyers, prices remain high regardless of broader national trends.”
Oakland, CA
Median list price: $859,000
Average days i market: 55
Median household income: $97,369
“The Bay Area, spanning Oakland, San Jose, and San Francisco, is a true hub of innovation,” Sam Fitz-Simonreal estate agent with Compass in Northern California, tells Realtor.com. “Some of the most notable companies in the world started here or still operate here, and that’s not by accident. People move here from all over the world because that’s where the opportunity lies. Beyond the business side, it’s an incredible place to live. The weather is hard to beat, and in a few hours, you have snow, beaches, wine country, and anything you can get that way.”
