Zillow’s latest snapshot shows a dramatic shift in entry‑level home prices. The number of U.S. cities where a typical starter home tops $1 million has jumped from 80 in February 2020 to a record 242 today. In the same span, California now hosts 105 such markets, eclipsing every other state. Across the nation, buyers face a new reality of higher entry thresholds.

Zillow’s definition labels a starter home as one in the lowest third of local values, so the rise signals a nationwide affordability reset triggered by the pandemic boom. While rent‑to‑buy ratios have tightened, the average starter home now costs $198,649, up 1.7 % from a year ago, meaning buyers must stretch farther for a foothold in today's competitive markets now today.

The surge concentrates in the Northeast, where restrictive zoning keeps supply tight. New York added 29 cities last year, climbing to 41, while New Jersey rose to 26. California remains the leader with 105, but states like Texas, Wyoming, and Illinois now host multiple million‑dollar starter markets, underscoring a nationwide shift for buyers across the country today.