As of March 2025, the median price for a home across the United States stubbornly lingered above $400,000, a figure reported by the National Association of Realtors. Yet, in the country’s most elite real estate hotspots, $400K barely scratches the surface of what’s needed for a down payment.
City-level sales data pulled together by ATTOM Data Solutions, analyzed by Bankrate for Q1 2025, sheds light on the priciest corners of the nation’s housing market. Unsurprisingly, California places a stronghold on the top spots.
Top 10 Most Lavishly Priced Cities for Homebuyers
Dominated predominantly by quaint Californian towns, the list also features upscale waterfront communities along the East Coast. Here’s a snapshot of the ten priciest cities paired with their median home prices from the first quarter of 2025:
- Atherton, California: $10.95 million. By a wide margin, the crown jewel of Silicon Valley ranks as the priciest U.S. locale to snap up a home.
- Newport Coast, California: $5.81 million. This swanky gem in Orange County has long held a reputation for sky-high prices.
- Teton Village, Wyoming: $5 million. Dreaming of ski-in, ski-out access? This mountaintop retreat delivers.
- Boca Grande, Florida: $4.9 million. Waterfront properties dominate this quiet Gulf Coast enclave’s real estate scene.
- Los Altos, California: $4.8 million. Another entrenched Silicon Valley hotspot where prices haven’t lost steam.
- Sea Island, Georgia: $4.53 million. This charming coastal resort draws affluent homebuyers seeking exclusivity.
- Portola Valley, California: $4.13 million. Although this Silicon Valley town saw median prices dip slightly—from $5 million in early 2022—it’s still steep.
- Old Westbury, New York: $4.05 million. The Hamptons city’s median sale price catapulted from $2 million the previous year, signaling sharp market momentum.
- Burlingame, California: $3.98 million. In the context of pricey Silicon Valley towns, this looks like a relative bargain.
- Rancho Santa Fe, California: $3.93 million. This upscale San Diego suburb witnessed a pandemic-fueled surge in values.
Noteworthy Housing Market Statistics
The housing landscape reveals some staggering percentage changes in median prices over the past year, such as Teton Village’s explosive 80% spike and Old Westbury’s 50% leap. Meanwhile, Water Mill, New York, saw an extraordinary price drop of over 87%, illustrating the volatility that can shake luxury markets.
Most Expensive Medium-Sized Cities (Population 50,000–500,000)
- Newport Beach, California: $3.3 million, marking an 18% year-over-year gain.
- Palo Alto, California: $2.89 million, with a modest 5% rise.
- Cupertino, California: $2.6 million, noted for a slight dip despite being Apple’s home turf.
- Santa Barbara, California: $2.5 million, having soared by 37% in twelve months.
- Los Gatos, California: $2.4 million, enjoying an 18% boost in values.
Top-Tier Large Cities with Pricey Real Estate (Population 500,000+)
- Manhattan: $1.55 million. The Big Apple’s iconic borough remains—as always—a fortress of pricey dwellings, despite changing urban dynamics.
- Brooklyn: $995,000. While still more affordable than Manhattan, Brooklyn’s reputation for wallet-friendly homes is eroding fast.
America’s 25 Priciest Housing Markets — The Full Breakdown
| 1 | Atherton | California | 7,030 | $10,950,000 | +42.92% |
| 2 | Newport Coast | California | 10,224 | $5,807,500 | +5.38% |
| 3 | Teton Village | Wyoming | 999 | $4,995,000 | +80.15% |
| 4 | Boca Grande | Florida | 633 | $4,900,000 | -1.53% |
| 5 | Los Altos | California | 43,666 | $4,769,625 | +9.85% |
| 6 | Sea Island | Georgia | 94 | $4,530,300 | +10.30% |
| 7 | Portola Valley | California | 6,645 | $4,125,000 | +4.85% |
| 8 | Old Westbury | New York | 4,198 | $4,050,000 | +50.62% |
| 9 | Burlingame | California | 42,794 | $3,981,000 | +6.87% |
| 10 | Rancho Santa Fe | California | 9,460 | $3,925,250 | -1.90% |
Tips for Navigating This Jaw-Dropping Market
If homeownership feels like an elusive dream amid these historic price tags, know that options and workarounds exist for savvy buyers willing to think outside the box.
1. Hunt Around for Mortgage Deals
With interest rates dancing unpredictably and fees wildly varying between lenders, don’t settle for the first mortgage offer that lands in your inbox. Scrutinize at least three quotes. Remember, the monthly payment is only part of the story—the down payment, often demanding 20% of the purchase price, can be a colossal hurdle ($80,000 on a $400,000 property). Thankfully, Federal Housing Administration and Department of Veterans Affairs-backed mortgages offer relief: FHA loans require as little as 3.5% down, while VA loans might waive down payments entirely for qualified buyers.
2. Eye Fixer-Uppers as Affordable Alternatives
In a landscape marked by scarce inventory and soaring prices, older homes can offer a middle ground. But brace yourself: according to renovation pros, the current environment of inflated material costs and labor shortages often pushes renovation expenses 15–20% beyond initial budgets.
3. Ponder More Wallet-Friendly Locations
When your dream neighborhood slips out of reach, why not explore metros where the price tag is gentler? Cities like Buffalo ($213,000 median), Philadelphia ($225,000), Louisville ($235,500), St. Louis ($179,919), Kansas City ($235,000), and Milwaukee ($230,000) continue to offer homes within a more reasonable budget.