How Much House $500K Buys in Major Cities Across the U.S. (and What This Means for Investors)

"For many buyers and investors, $500,000 is a benchmark budget. But in today's housing market, that number doesn't stretch the same way everywhere - and the trade-offs reveal a lot about both affordability for buyers and opportunity for investors. In cities like San Francisco or Los Angeles , half a million dollars may only stretch to a condo or small starter home, while in markets like or , buyers get noticeably more space for the same budget."

"By comparing how much house $500K buys in major U.S. cities, we can uncover not only affordability trends but also where opportunities may lie for long-term real estate growth. What determines how far $500K goes? A half-million dollars may sound like a big budget, but location ultimately determines buying power. In some metros, $500K secures a family home with room to grow; in others, it barely covers a starter unit."

Half a million dollars buys very different amounts of housing depending on the metro. In high-cost coastal cities, $500K often only covers a condo or small starter home, while lower-cost markets provide substantially more space. Buying power is determined by location, price per square foot, inventory levels, local job markets, and neighborhood amenities such as schools and transit. Low inventory and strong job growth push prices up and reduce affordability. Investors evaluate these differences to compare entry costs and to identify markets with potential for long-term real estate growth.

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