Not only are homes getting more expensive, but they are getting smaller. Recent research from housing market platform Zillow shows that there are now nearly 1.65 million homes in the U.S. worth at least $1 million. At the same time, the typical home worth $1 million is now 2,388 square feet, about 70 square feet smaller than it was five years ago.
During the past five years, the number of $1 million homes has grown in nine major U.S. metro areas, increasing more than fivefold in Riverside, Calif., and Richmond, Va. However, San Jose, Calif., and San Francisco saw a decline in homes worth $1 million or more. In Indianapolis, $1 million homes have shrunk the most, losing more than 1,500 square feet since 2020, though they remain the largest among major metros at 5,042 square feet. Other cities, including Hartford, Conn., Nashville, Buffalo, Tenn., and Raleigh, N.C., also saw size reductions of around 1,000 square feet.
The smallest $1 million homes are in California. The typical $1 million home in San Jose is 1,263 square feet, the smallest of any major metro, with San Francisco (1,409 square feet for the typical $1 million home), Los Angeles (1,626) and San Diego (1,759) the next smallest. No other major metro has a typical $1 million home smaller than 2,000 square feet. Read more
