A new report shows that $5 million homes are "only the starting point" for the luxury housing market. Trulia's report says the median price for these homes is roughly $7.4 million, with 5,663 square feet of living space on an acre of land.
Over the past year, the share of homes in the US valued at $5 million or more rose nearly 20 percent, compared to almost 18 percent for $1 million dollar homes.The $1 million home was formerly the benchmark for entering the luxury housing market; currently, more than 4 percent of all homes in the 100 largest U.S. metros are worth at least $1 million. Business Insider's reporting points out that this is nearly four times the share of million dollar homes on the housing market 15 years ago, citing Trulia's report.
Most of the country's $5 million-plus listings are concentrated in coastal markets, including California, New England, and Florida, though there are some high-priced listings across Texas and the South, per Trulia. But the rising cost of luxury underscores the severity of wealth inequality that's striking communities across America. While the median home price in the U.S. last year was $282,900, 86 percent of the biggest US metros had at least one $5 million-plus listing.
