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By Hugh Cameron
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While affordability pressure has weighed on demand and kept many prospective buyers off the housing ladder in 2025, prices in some of the country’s costliest areas continue to climb, to the benefit of their super wealthy residents.
According to a new report from Realtor.com, median prices in certain, largely coastal, cities exceed $10 million, demand buoyed by their security, scarce inventory and proximity to regional business and entertainment hubs.
Why It Matters
For most Americans, housing affordability has worsened in recent years, as rising ancillary costs have combined with broader financial pressures to keep many on the sidelines of the property market. This is in spite of house prices themselves falling across a significant portion of the country, according to one recent study, reflecting this cost-driven slowdown in demand.
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What To Know
According to Realtor.com’s analysis, the most expensive areas in the U.S. share several attributes, including "ocean-adjacent settings," high-quality housing and a concentration of wealthy buyers able to afford the exceptionally high property prices.
California dominates the rankings, claiming seven of the country’s top ten most expensive ZIP codes, with 92657 in Newport Coast coming in as the costliest. The area, know for its ultra-affluent residents including business moguls, athletes and celebrities, boasts a median listing price of nearly $11.9 million, according to Realtor.com’s analysis, with monthly mortgage payments of around $59,131.
Going by the 30 percent affordability rule—that one should only spend this amount of their gross monthly income on housing—Realtor.com estimates residents would need to earn $2.4 million to be able to afford to live in Newport.
Florida's Fisher Island in Miami Beach (ZIP code: 33109) is second on the list, with homes listed at a median price of nearly $11.7 million and requiring $57,947 in monthly payments. An estimated 40 percent of households have an income of more than $500,000, Realtor.com said, but the amount required to live on Fisher Island likely exceeds $2.3 million.
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"Fisher Island is luxury on steroids," local real estate agent Elena Bluntzer told Realtor.com. "My clients are successful entrepreneurs and business leaders, with some coming from the Northeast, from New York, others from California, and international. I recently sold to a 26-year-old influencer, so it really is no longer just an older crowd."
Bridgehampton (11932) in New York comes in third, with a median listing price of $8.5 million and a required income of $1.7 million. The hamlet is the priciest part of the Hamptons area of Long Island, and a top destination for New York’s affluent residents to spend their weekends and vacations.
The remaining areas on Realtor.com’s rankings include:
- Beverly Hills, California. ZIP code: 90210. Median listing price $8.0 million. Required income: $1.6 million.
- Los Angeles/Bel-Air, California. ZIP code: 90077. Median listing price: $8.0 million. Required income: $1.6 million.
- Water Mill, New York. ZIP code: 11976. Median listing price: $6.1 million. Required income: $1.2 million.
- Santa Barbara, California. ZIP code: 93108. Median listing price: $6 million. Required income: $1.2 million.
- Malibu, California. ZIP code: 90265. Median listing price: $6 million. Required income: $1.2 million.
- Santa Barbara, California. ZIP code: 93110. Median listing price: $6 million. Required income: $1.2 million.
- Rancho Santa Fe, California. ZIP code: 92067. Median listing price: $6 million. Required income: $1.2 million.
According to Realtor.com, the California ZIP codes have seen prices reach these heights thanks to a combination of state-level and local factors. These include Proposition 13, an amendment to the California constitution which tied property taxes to the original purchase price and, according to senior economist Anthony Smith, gave "longtime owners a strong incentive not to move."
What People Are Saying
Anthony Smith, senior economist at Realtor.com, said: "There’s a combination of forces that push prices into the multimillion-dollar range across these ZIP codes. Scarcity and irreplaceable land are at the top of the list. True oceanfront property exists along a narrow strip of coastline near major population centers. The supply of parcels with real waterfront access and unobstructed views is exceptionally limited, which naturally elevates pricing."
What Happens Next
Looking ahead to 2026, experts expect house prices to continue rising, albeit it at a more moderate pace than in recent years, with affordability improvements thanks to declining mortgage rates and rising inventory levels.
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