A historic row house in the Columbia Heights district of Washington.
amedved | iStock | Getty Images
Millions of dollars homes aren’t common in the United States, but you’re more likely to find these properties along the coast.
according to it Lending Tree research It ranked the country’s 50 largest metropolitan areas by share of real estate owned by owners over $ 1 million.
The average share of $ 1 million homes in the largest 50 metropolitan areas is 4.71%. But in San Jose, California, 52.89% is worth more than $ 1 million, and in San Francisco, 40.37% is worth it.
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Other metros with the highest share of $ 1 million in assets include Los Angeles, San Diego, New York, Seattle, Boston, Washington, Miami and Denver.
By comparison, places like Buffalo and New York. Cleveland and Pittsburgh had the lowest share of the $ 1 million home, less than 1% of their homes.
- San Jose, CA: 52.89%
- San Francisco: 40.37%
- Los Angeles: 18.55%
- San Diego: 13.52%
- New York: 10.53%
- Buffalo, NY: 0.56%
- Cleveland: 0.59%
- Pittsburgh: 0.67%
- Columbus, Ohio: 0.73%
- Cincinnati: 0.78%
The survey results are Growing concerns about affordable housing As mortgage rates skyrocket.
The median home listing price across the country reached a record $ 450,000 in June, up almost 17% from the previous year. According to Realtor.com.. Many Americans also have a 30-year fixed-rate mortgage, which is less purchasing power than it was a year ago. Hovering around 6% For so-called conforming loans under $ 647,200.
Indeed, rising interest rates have given homebuyers $ 165,000 in purchasing power with a monthly budget of $ 3,500 since the end of 2021. Redfin report found.
Home sales profits are considered capital gains, but you Meet specific requirements.. One of the main rules to qualify is that you must own the home and use it as your primary residence for two of the five years prior to the sale.
If your profits exceed these tax exemption standards or you are not eligible, there are ways to reduce your tax burden.
Lesliebeck, Certified Financial Planner and Owner of Compass Wealth Management in Rutherford, New Jersey, is aware that many homeowners can add real estate improvements to their cost base or purchase price to reduce capital gains. Said not.
Some examples may include adding homes, patios, landscaping, new systems, and so on. According to the IRS.. However, continuous repairs and maintenance, such as painting and leak repairs, are not considered.
Thomas Scanlon, CFP and CPA of Raymond James, Manchester, Connecticut, said: “If you don’t have them, get a copy of the permit you need to do the job.”