America's Affluent Suburbs: A 2025 Analysis of Wealth Distribution and Housing Markets

Scarsdale in Westchester County, New York, has solidified its position atop the nation’s most affluent residential communities for the second consecutive year. According to GOBankingRates’ comprehensive 2025 analysis, which examined metropolitan areas across the United States, Scarsdale residents reported an average household income of $601,193 (adjusted for 2023 inflation), with properties valued at approximately $1.2 million.

Key Patterns Reshaping America’s Wealthiest Communities

The 2025 data reveals significant shifts in which suburbs dominate the wealth hierarchy. Two notable newcomers—Alamo in the Oakland region and Southlake near Fort Worth—have surged into the top 10, reflecting changing economic dynamics and real estate patterns. Southlake, in particular, climbed from 13th place in 2024, while Alamo entered the rankings at number 5, demonstrating the economic momentum in Texas and the Bay Area.

Six communities have newly entered the top 50 list entirely: Alamo (#5), Coto de Caza in Orange County (#22), Lake Butler in the Orlando area (#40), Colleyville near Fort Worth (#47), Newton near Boston (#49), and Brentwood near Nashville (#50). This refreshed composition underscores evolving migration patterns and wealth concentration across different regions.

State-by-State Leadership: California’s Dominance and Texas’s Rise

California maintains its grip on the wealthiest suburbs landscape, hosting 17 of the top 50 communities, up from 16 in 2024. The five most expensive California residential areas are Los Altos ($403,512 average household income, with homes valued at $4.56 million), Alamo ($403,334 income, $2.55 million homes), Orinda ($369,073 income, $1.99 million homes), Palos Verdes Estates ($367,178 income, $2.8 million homes), and Saratoga ($344,319 income, $4.12 million homes).

Texas has emerged as a secondary powerhouse, with five suburbs in the top 50—three of which occupy top-10 positions. West University Place (Houston area, #3) boasts a $409,677 average household income with $983K properties. University Park (Dallas suburb, #6) shows $389,868 income and $2.46 million home values. Southlake (#7) records $382,520 income with $1.29 million homes. Bellaire (#23, $311,033 income) and Colleyville (#47, $265,831 income) round out the state’s representation.

Florida’s three wealthiest suburban communities are Palm Beach ($356,467 income, $10.31 million homes), Pinecrest near Miami ($312,591 income, $2.4 million homes), and the newly ranked Lake Butler ($289,593 income, $283K homes).

The New York-New Jersey Corridor and Northeast Stability

New York remains a traditional wealth hub through Scarsdale (#1) and Rye (#2). Rye residents earned $421,259 in 2023, with homes reaching $1.88 million. New Jersey suburbs—including Tenafly (#26, $306,103 income), Summit (#28, $304,408 income), Westfield (#33, $297,367 income), and Ridgewood (#41, $288,861 income)—collectively represent strong northeastern wealth concentration.

Massachusetts suburbs demonstrate consistent affluence: Wellesley (#10, $368,179 income, $2.08M homes), Lexington (#32, $300,716 income), Winchester (#35, $296,327 income), Needham (#43, $281,049 income), and Newton (#49, $261,666 income). All reflect the Boston area’s sustained economic strength.

Income Trends and Home Value Appreciation

Between 2022 and 2023, household income patterns showed divergence. San Carlos, California experienced the highest income growth at 8.7%, while Mountain Brook, Alabama near Birmingham surged 9.5%. Conversely, McLean, Virginia saw a 3.1% decline, Wellesley fell 3.1%, and Palm Beach dropped 5.8%—suggesting demographic or economic shifts in these traditionally wealthy areas.

Home value appreciation from May 2024 to May 2025 revealed mixed signals. Hinsdale, Illinois (Chicago area) led with 7.9% appreciation, while Ridgewood, New Jersey jumped 7.7% and Wilmette, Illinois gained 6.8%. However, several premium markets declined: Palm Beach homes fell 2.3%, Moraga, California dropped 3.7%, and Mill Valley, California retreated 2.5%.

The Complete 2025 Ranking Overview

Positions 1-10: Scarsdale ($601K income), Rye ($421K), West University Place ($410K), Los Altos ($404K), Alamo ($403K), University Park ($390K), Southlake ($383K), Hinsdale, Illinois ($376K), Orinda ($369K), Wellesley ($368K).

Positions 11-20: Palos Verdes Estates ($367K), McLean, Virginia ($365K), Palm Beach ($356K), Saratoga ($344K), Menlo Park ($339K), San Carlos ($335K), Lafayette, California ($320K), Los Gatos ($318K), La Cañada Flintridge ($317K), Wolf Trap, Virginia ($316K).

Positions 21-30: Pinecrest ($313K), Coto de Caza ($312K), Bellaire ($311K), Palo Alto ($309K), Mill Valley ($308K), Tenafly ($306K), Potomac, Maryland ($305K), Summit ($304K), Mercer Island, Washington ($303K), Mountain Brook ($303K).

Positions 31-40: Lake Forest, Illinois ($302K), Lexington ($301K), Westfield ($297K), Greenwich, Connecticut ($297K), Winchester ($296K), Cupertino ($296K), Wilmette ($292K), Bethesda, Maryland ($291K), Manhattan Beach, California ($291K), Lake Butler ($290K).

Positions 41-50: Ridgewood ($289K), Danville, California ($284K), Needham ($281K), Sammamish, Washington ($281K), Vienna, Virginia ($274K), Dix Hills, New York ($271K), Colleyville ($266K), Moraga ($263K), Newton ($262K), Brentwood, Tennessee ($261K).

Methodology and Data Sourcing

This analysis examined cities with minimum 5,000 households across U.S. metropolitan statistical areas, excluding principal cities. Average household income figures derive from the 2023 American Community Survey and were inflation-adjusted using the Bureau of Labor Statistics CPI calculator. Home values reflect May 2025 Zillow Home Value Index data. All analysis was finalized as of July 1, 2025, providing the most current wealth distribution snapshot available.