Average Mortgage Balances Exceed $1 Million in These 67 Cities in 2025

Million-Dollar Mortgages the Norm in Even More Cities

There are 67 cities in the U.S. where mortgage balances average $1 million or more in 2025, according to Experian data. That's an increase from 47 cities in 2024 and 23 cities in 2023.

California, as has historically been the case, leads the U.S. with this distinction. Nearly half the cities with million-dollar mortgage averages are in the Golden State. As California routinely has the highest-priced homes in the country apart from Hawaii, according to Zillow and other measures, it's not surprising to see those cities dominate the $1 million mortgage list below.

67 Cities Where Average Mortgage Balances Exceed $1 Million

Debuting in the $1 million mortgage and up average table are relatively larger cities such as Miami Beach, Florida, and La Jolla, California, as well as more than a dozen other smaller cities. (Meanwhile, five cities that had an average mortgage balance in 2024 above $1 million have decreased enough that they are now back in the six-figure club.) Moreover, the number of communities with average mortgage balances of $2 million and above has now reached double-digits. Like the $1 million-and-up list, most of these communities are in California.

But what's equally interesting are the number of wealthier communities in Florida where the average mortgage balance is more than $2 million. Cities from the Sunshine State now suddenly dominate the top positions in our annual table, when in prior years only a handful of Florida cities were listed.

Mortgage Balance Trends Nationwide

Despite recent headlines reminding locals that $1 million home prices are becoming standard in places like Boston and Orange County, California, it's unlikely that $1 million mortgages are what most buyers there will actually end up with.

Percentage of Mortgages Greater Than $1 Million

For one, there's still a down payment, so the mortgage balance won't be quite as large as the

sales price. In addition, despite seven-figure sales prices, homes in both Boston and Southern California—as well as other parts of the country where the cost of living is higher—million-dollar mortgages are considered conventional loans, which makes them as ordinary as lower-priced homes in the eyes of lenders. (More importantly, banks can then sell these loans to Freddie Mac and Fannie Mae).

20 Metros With the Highest Percentage of $1 Million+ Mortgages

With Jumbo Mortgages, Credit Still Plays a Role

While credit scores are always important when applying for a mortgage, they can play an even bigger role for homebuyers taking out some of the new $1 million mortgages. Depending on the market, these loans often fall outside the range of what's considered a conforming loan. In 2025, the conforming loan limit rose to $806,400, up from $766,550 in 2024. Though in some of the nation's most expensive areas, including many of the cities being namechecked above, conforming limits climb to as much as $1,209,750. Even so, plenty of homes in high-cost cities will still require what's known as a jumbo loan.

Jumbo loans allow for higher mortgage balances but also come with stricter requirements. Lenders often expect stronger credit scores, lower debt-to-income ratios and larger down payments. Unlike conforming mortgages, which can be sold to Fannie Mae or Freddie Mac and carry a federal guarantee, jumbo loans typically stay on the lender's books. That increases the bank's risk if the borrower defaults.

Currently, jumbo mortgage rates average slightly higher than conforming rates, although the difference often changes over time. For buyers stretching into seven-figure territory, improving their credit score could make a meaningful difference in securing more favorable terms—and ensuring their mortgage payments don't become overwhelming.