You can still buy a mansion for $1 million in these U.S. cities. Here’s where they are.

In a recent analysis conducted by Zillow, it was revealed that the landscape of the luxury real estate market in the United States has undergone significant changes. While in 2021, nearly half of all U.S. mansions were priced at $1 million or less, today only about three in 10 fall below that threshold. This shift highlights the increasing cost of high-end properties across the country.

The median price for mansions nationwide currently stands at $1.4 million, with certain regions commanding even higher prices. In major California cities like Los Angeles and San Francisco, the median mansion price reaches a staggering $4.5 million. However, there are still a few metro areas where homebuyers can find extra-large residences for under $1 million. These cities include Buffalo, New York ($825,500), Indianapolis, Indiana ($965,500), Cleveland, Ohio ($995,200), and Memphis, Tennessee ($996,700).

For those willing to prioritize space over location, mansion values around or slightly above $1 million can be found in the Midwest and select Southern cities such as Louisville, Kentucky, and Birmingham, Alabama. According to Zillow senior economist Kara Ng, mansion prices tend to align with overall affordability trends, making it possible to find more affordable luxury properties in certain regions.

One of the reasons why many mansions are priced below $1 million is due to their age, with a median construction year of 1985 compared to the overall median construction year of 2000 for all mansions. This suggests that older properties may offer a more budget-friendly option for buyers looking for a luxury home.

Interestingly, Atlanta, Georgia boasts the highest number of mansions under $1 million, with a total of 21,634 properties in this price range. New York City follows closely behind with 2,555 mansions under $1 million. Other cities with a significant number of affordable luxury homes include Indianapolis, Washington, D.C., and Chicago.

While the luxury real estate market continues to evolve, with prices rising and inventory tightening, it remains a challenging environment for buyers at every price point. The record-high median U.S. home sale price of nearly $400,000 in June reflects the ongoing trend of increasing housing costs. Additionally, the decrease in first-time homebuyers entering the market, from 50% in 2010 to just 24% last year, underscores the challenges faced by prospective buyers.

In conclusion, the luxury real estate market in the U.S. is experiencing a shift towards higher prices and limited inventory, making it essential for buyers to carefully consider their options and priorities when searching for their dream home.