5 States Where Even Starter Homes Now Cost $1 Million or More

Starter homes have traditionally been viewed as an affordable path into homeownership. But in some parts of the country, "starter home" no longer means inexpensive.

While the typical U.S. starter home is worth about $199,000, a recent Zillow analysis found that the number of cities where a typical starter home costs $1 million or more has nearly tripled since before the pandemic, rising from 80 in February 2020 to 242 in April 2026.

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Million-dollar starter homes remain concentrated in a relatively small number of high-cost housing markets. The following five states account for the majority of cities where first-time buyers now face seven-figure starter-home prices.

1. California

• Cities with $1M+ starter homes (April 2026): 105

• Cities with $1M+ starter homes (February 2020): 52

2. New York

• Cities with $1M+ starter homes (April 2026): 41

• Cities with $1M+ starter homes (February 2020): 12

3. New Jersey

• Cities with $1M+ starter homes (April 2026): 26

• Cities with $1M+ starter homes (February 2020): 1

4. Florida

• Cities with $1M+ starter homes (April 2026): 11

• Cities with $1M+ starter homes (February 2020): 4

5. Massachusetts

• Cities with $1M+ starter homes (April 2026): 10

• Cities with $1M+ starter homes (February 2020): 1

This article was provided by MoneyLion.com for informational purposes only and should not be construed as financial, legal or tax advice.

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