How Much Homes Are 'Earning' in Biggest U.S. Cities

The federal minimum wage is currently $7.25 per hour, home prices appreciated at roughly $7.09 per hour in equity, nationally. In 24 of the biggest U.S. cities, median-valued homes outstripped their local minimum wage, and in some cases, by wide margins.

Nearly half of typical American homeowners have their wealth tied into their home, and 70 percent see their home as a "positive long-term investment," according to Zillow's research. In several California cities, San Francisco, San Jose, Los Angeles, San Diego, and Oakland, median-valued homes appreciate equity at some of the highest rates. The minimum wage in Los Angeles is $12.00 per hour, while homes gain over $26.00 in equity per working hour.  

In San Jose, the heart of Silicon Valley where the median home value has soared above $1 million over the past year, owners of the typical local home earned more than $200,000 in equity last year – almost $100 for every hour spent at the office last year. Even considering the legendary perks of Silicon Valley’s office culture, that kind of “income” is probably more than enough to make some local homeowners consider giving it up and letting their home do the work instead.

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