These are the most expensive neighborhoods per square foot in the US in 2024
Housing prices have soared in recent years and while the rising cost of purchasing a home has slowed, a lack of supply will keep them from falling.
Housing affordability has been on the mind of anyone looking to buy a home or rent in recent years. The pandemic and the fiscal loosening, implemented to bolster the economy from the shocks it produced, helped fuel a mass migration and a buying frenzy with mortgage rates at rock bottom levels. That caused the median price of existing homes to skyrocket.
Now though, would-be homebuyers have to contend with high interest rates that peaked at nearly 7.8% in December last year. They’ve come down since, but the millions of Americans that locked in rates below 5% have been loath to sell. Added to insufficient new construction to meet demand and the Fed successfully not triggering a recession with its fiscal tightening has kept prices rising in many areas.
The national average cost of a square foot is $244 according to a new report from home warranty company American Home Shield. However, housing prices vary from state to state, even between neighborhoods that are right around the corner from one another. The average square foot pirce in the most expensive neighborhood in the United States is over 22 times more expensive than the national average.
According to the analysis, the most expensive neighborhoods in the country can be found in California, Florida, New York and Washington, while the cheapest areas can be found in southern parts of the country as well as the Rust Belt, which includes the Northeast and Midwest of the United States. Typically the higher the cost per square foot also corresponds with areas that have better economic opportunities and higher median incomes.
These are the most expensive neighborhoods per square foot in the US in 2024
American Home Shield data found that the South of Market neighborhood, also known as SoMa, in San Francisco is the most expensive neighborhood in the United States. The area, which is home to billion-dollar tech businesses, is located just south of Market Street. The average property sells for $5,415 per square foot, or about $5.4 million for a 1,000-square-foot abode.
Neighborhoods in Los Angeles, Manhattan, Seattle and southern Florida are also in the top ten most expensive in the nation. Here’s a look at what the average price is per square foot according to American Home Shield.
Most expensive neighborhoods in the US
- South of Market, San Francisco, California - $5,415/sq ft
- Old Town Carpinteria, Santa Barbara County, California - $4,129/sq ft
- Downtown Bellevue, King County, Washington - $3,619/sq ft
- Port Royal, Collier County, Florida - $3,375/sq ft
- Aqualane Shores, Collier County, Florida - $3,132/sq ft
- Stinson Beach, Marin County, California - $2,988/sq ft
- Star, Palm & Hibiscus Islands, Miami/Dade County, Florida - $2,861/sq ft
- Crystal Cove, Orange County, California - $2,771/sq ft
- Casa del Largo, Palm Beach County, Florida - $2,754/sq ft
- West Village, Manhattan, New York - $2,680/sq ft
The analysis was conducted using Homes.com’s neighborhood search database to find average price per square foot data for more than 22,000 neighborhoods nationwide.
The company then ranked the most and least expensive neighborhoods to buy property at the national level, at the state level (excluding Montana, South Dakota, Wyoming, North Dakota and Virginia, where data was not available), and for major cities.
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