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25 Cities with the Highest Housing Costs in the US

In this article, we will be analyzing the US real estate at a metro level while covering the 25 cities with the highest housing costs in the US. If you wish to skip our detailed analysis, you can move directly to the 5 Cities with the Highest Housing Costs in the US.

The US Real Estate at a Metro-Level

An analysis of the US metros reveals that home value growth has been the highest in some of the country's most expensive housing markets. Home values climbed by 3.3% in San Jose, 2.7% in San Francisco, 2.4 % in Seattle, 2.1% in San Diego, and 2.0% in Los Angeles from February to March. These 5 markets are where homeowners tend to hold on to their homes the most since they will have to pay a higher mortgage on a new house. Due to a below-average recovery in inventory as compared to pre-pandemic, buyers in these metros compete for a limited housing supply. Metros with the highest home price increases since the pandemic have been previously covered. On the contrary, appreciation in home prices has cooled in the Southern metros where inventory has recovered or increased since the pandemic. This has driven less competition thereby restricting the rapid price appreciation. New Orleans, San Antonio, Tampa, Orlando, and Jacksonville recorded the slowest but still fairly solid price growths.

In regards to the US rental market, Americans need to earn $80,000 a year to afford the typical rent of $1,997. The typical rent has gone up by 3.6% since 2023. The highest annual rent increases have been recorded at 7.7% for Providence, 7% for Louisville, 6.5% for Buffalo, 6.5% for Cleveland, and 6.2% for Hartford. The least affordable metros for US renters include Miami, the New York City metro area, Los Angeles, Riverside, and San Diego. The percentage of local median household income that needs to be spent on typical rent in these metros has been recorded at 43% for Miami, 39.8% for the New York City metro area, 36.7% for Los Angeles, 33.3% for Riverside and 33.1% for San Diego. You can also view some of the least affordable metros for homebuyers in the US.

Housing Options to Look Out For

Homebuyers in the US can avail of diverse housing options from reputable homebuilders including M.D.C. Holdings, Inc. (NYSE:MDC), Century Communities, Inc. (NYSE:CCS), and Lennar Corporation (NYSE:LEN). Let’s take a look at some of the recent developments undertaken by these firms. You can also take a look at the biggest real estate companies in the US in 2024.

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M.D.C. Holdings, Inc. (NYSE:MDC) operates Richmond American Homes which is one of the largest homebuilders in the country. The homebuilder has operations in multiple states including Alabama, Arizona, California, Colorado, Florida, Idaho, Maryland, Nevada, New Mexico, Oregon, Pennsylvania, Tennessee, Texas, Utah, Virginia, and Washington. On May 7, the subsidiary of  M.D.C. Holdings, Inc. (NYSE:MDC), Richmond American Homes of Florida, LP, announced the grand opening of a new Mount Dora community. The community ‘Seasons at Wekiva Ridge’ is situated less than an hour from downtown Orlando. It boasts new single- and two-story homes priced from the $400,000s. Historic sites, shopping, dining, and recreation options can also be accessed.

Century Communities, Inc. (NYSE:CCS) is a major American homebuilder that is engaged in the construction, innovative marketing, and sale of homes for diverse buyers. The company operates in 18 states and more than 45 markets across the country. On May 9, Century Communities, Inc. (NYSE:CCS) reported that it has initiated sales at its new community in Cleburne, Texas. The community tends to be affordable and offers new homes priced from the upper $200,000s to the mid $300,000s. Furthermore, it has a prime location near Cleburne's Main Street.

Lennar Corporation (NYSE:LEN) is an American home construction company that constructs affordable, move-up, and active adult homes. It also engages in the development of high-quality multifamily rental properties. On May 3, Lennar Corporation (NYSE:LEN) reported the launch of sales for Longbay Townhomes. Longbay Townhomes serves as the lowest entry-priced Lennar community in the area and is an attractive option for first-time homebuyers. The new homes are situated in Middleburg which offers easy access to Jacksonville. Pricing starts in the high $200,000s.

Without further ado, let’s move to the 25 cities with the highest housing costs in the US. 

25 Cities with the Highest Housing Costs in the US
25 Cities with the Highest Housing Costs in the US

Our Methodology:

In order to compile a list of the 25 cities with the highest housing costs in the US, we sourced the primary cost of housing 'the typical home value' from Zillow. Median monthly housing expenses also need to be taken into consideration since they are significant costs after buying the home. For this purpose, we acquired the median monthly housing costs from the US Census Bureau. Using the CPI Inflation Calculator from the Bureau of Labor Statistics, we adjusted these monthly housing costs from 2022 to 2024 dollars to account for inflation. To keep our metrics uniform, the typical home values have also been acquired, as of March 2024.

Finally, we ranked the 25 cities with the highest housing costs in the US based on their typical home values and median monthly housing costs, as of 2024.

25 Cities with the Highest Housing Costs in the US

25. Provo, Utah

Typical Home Value: $531,095

Median Monthly Housing Cost: $1,305

Provo is located in Utah County, Utah. The city ranks among the 25 cities with the highest housing costs since it offers an average home value of $531,095 and a median monthly housing cost of $1,305.

24. Stockton, California

Typical Home Value: $542,244

Median Monthly Housing Cost: $1,656

Stockton is a Californian city where the typical home value is $542,244. Meanwhile, residents need to undertake an average monthly housing cost of $1,656.

23. Reno, Nevada

Typical Home Value: $542,296

Median Monthly Housing Cost: $1,515

The median monthly housing expense in Reno is $1,515. As of March, the city’s average home value is $542,296. These statistics rank the city on our list.

22. Salt Lake City, Utah

Typical Home Value: $544,968

Median Monthly Housing Cost: $1,480

Salt Lake City is a populous city in Utah. The average home value in the city was recorded at $544,968 during the month of March.

21. Portland, Oregon

Typical Home Value: $550,534

Median Monthly Housing Cost: $1,802

Those who choose to live in Portland need to spend $1,802 on monthly housing costs. Furthermore, the typical home value in the city is $550,534.

20. Fort Collins, Colorado

Typical Home Value: $555,102

Median Monthly Housing Cost: $1,734

Fort Collins ranks 20th on our list of the US cities with the highest housing costs. While median monthly housing expenses amount to $1,734, the city boasts an average home value of $555,102.

19. Washington, DC

Typical Home Value: $564,691

Median Monthly Housing Cost: $2,147

Washington, DC is another city where housing costs tend to be high. The city records a median monthly cost of $2,147. The typical home value in the city was recorded at $564,691 in March.

18. Riverside, California

Typical Home Value: $580,912

Median Monthly Housing Cost: $1,887

The 25 cities with the highest housing costs in the US rank Riverside as well. The median monthly housing cost in the city is $1,887 while its typical home value is $580,912.

17. Sacramento, California

Typical Home Value: $582,957

Median Monthly Housing Cost: $1,814

Sacramento serves as the capital city of California. The city records a typical home value of $582,957, as of March. On average, the people in Sacramento spend $1,814 on monthly housing costs. Therefore, Sacramento is another US city with relatively higher housing costs.

16. Denver, Colorado

Typical Home Value: $591,327

Median Monthly Housing Cost: $1,899

The median monthly housing expense in Denver is $1,899. The city boasts a typical home value of $591,327 which ranks it as one of the 25 cities with the highest housing costs in the United States.

15. Vallejo, California

Typical Home Value: $592,207

Median Monthly Housing Cost: $2,173

The city of Vallejo is positioned in Solano County, California. With a typical home value of $592,207 and a median monthly housing expense of $2,173, the city ranks 15th on our list.

14. Bridgeport, Connecticut

Typical Home Value: $618,794

Median Monthly Housing Cost: $1,537

Hosted by Fairfield County in the US state of Connecticut, Bridgeport ranks as another city with high housing costs. While the typical home value in Bridgeport is $618,794, those residing in the city incur a median monthly housing expenditure of $1,537.

13. New York City, New York

Typical Home Value: $652,100

Median Monthly Housing Cost: $1,871

The average home value in NYC surpasses the national average. Additionally, homeowners will have to incur median monthly housing costs of $1,871.

12. Boston, Massachusetts

Typical Home Value: $688,702

Median Monthly Housing Cost: $2,237

Boston serves as the capital of Massachusetts. The average monthly housing expenses in the city amount to $2,237. Simultaneously, Boston offers a typical home value of $688,702 which is relatively high as compared to numerous other US cities.

11. Seattle, Washington

Typical Home Value: $746,504

Median Monthly Housing Cost: $2,267

The seaport city of Seattle is a part of Washington. As of March, the average home value in the city is $746,504 while ITS median monthly housing cost is $2,267.

10. Boulder, Colorado

Typical Home Value: $749,331

Median Monthly Housing Cost: $2,042

The average home value in Boulder is $749,331, as of March. Additionally, the residents of the city spend an average of $2,042 on median monthly housing expenses. Hence, the city records the 10th highest housing cost across other US cities.

9. Santa Rosa, California

Typical Home Value: $811,877

Median Monthly Housing Cost: $2,059

Santa Rosa is situated in the North Bay region of the Bay Area in California. As of March, the average home value in the city is $811,877 which is above the national average.

8. Salinas, California

Typical Home Value: $842,250

Median Monthly Housing Cost: $1,897

Salinas ranks as another US city that has high housing costs to offer. As of March, the typical home value in the city is $842,250. The median monthly housing cost in the city is $1,897.

7. Oxnard, California

Typical Home Value: $871,714

Median Monthly Housing Cost: $2,072

Oxnard is based in Ventura County, California. While the city’s average home value is $871,714, its median monthly housing costs are as high as $2,072.

6. Urban Honolulu, Hawaii

Typical Home Value: $880,350

Median Monthly Housing Cost: $1,860

Urban Honolulu is situated in Hawaii. The city boasts an average home value of $880,350, one of the highest among the US cities. The average monthly housing expenditure in the city is $1,860. Hence, Urban Honolulu ranks as one of the cities with the highest housing costs in the United States.

Click to continue reading and see 5 Cities with the Highest Housing Costs in the US.

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Disclosure: None. 25 Cities with the Highest Housing Costs in the US is originally published on Insider Monkey.