Cities like New York City and L.A. might be some of the wealthiest in America, but it's smaller cities that are becoming more and more appealing to millionaires.
According to Henley and Partner's 2023 wealth report, cities like Austin, Texas, and Scottsdale, Arizona, are gaining millionaire residents, while bigger cities like Chicago, and New York City are losing them.
Top 5 fastest-growing U.S. cities for millionaires
- Austin, Texas
- West Palm Beach, Florida
- Scottsdale, Arizona
- Miami, Florida
- Greenwich and Darien, Connecticut
The No. 1 city on the list is Austin, Texas. According to the report, the Texas city saw a millionaire growth rate of 102% from 2012 to 2022. In December 2022, Austin was home to 30,500 millionaires, 86 centi-millionaires, and nine billionaires.
Over the years, Austin has emerged as a tech hub. Companies like Amazon, Google, Meta, SpaceX, and Tesla have expanded their presence in the city. In 2019, Apple invested $1 billion to build a new campus.
Thanks to that influx, Austin has also become a growth market for luxury real estate, according to Henley and Partner's 2023 wealth report.
A recent Bankrate report states that the median sale price for a home in Austin as of January 2023 was $530,000, according to Redfin data. Although it was a 5.4% decline year-over-year, it's still well above the national median price of $359,000.
West Palm Beach, Florida, ranked second on the list. It Includes Palm Beach island and the town of West Palm Beach.
From 2012 to 2022, the Florida city saw a millionaire growth rate of 90%. According to the report, in December 2022, West Palm Beach was home to 9,400 millionaires, 64 centi-millionaires, and six billionaires.
West Palm Beach also ranked as a top three city in the U.S. where millionaires are buying second homes.
According to Sotheby's listings, homes are currently on sale in the area ranging from $1.9 million to $89 million.
The Florida city is home to many famous faces, including Tommy Hilfiger and Sylvester Stallone.
Scottsdale, Arizona, rounded out the top three fastest-growing cities in the U.S. for millionaires. From 2012 to 2022, Scottsdale saw an 88% millionaire growth rate and is home to 13,900 millionaires, 60 centi-millionaires, and five billionaires, according to the report.
According to Zillow, the average home value price in the Arizona city is $750,908, up 6.3% over the past year.
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