Wealth Hotspots: Millionaires,Cities,and the Widening inequality Gap
America’s wealthiest individuals are increasingly concentrated in specific urban centers,a trend highlighted in a recent report by henley & Partners,a firm specializing in residence and citizenship by investment. These cities,while offering competitive job markets and thriving business cultures,also grapple with rising costs of living that impact all residents.
The Usual Suspects and a Texas takeover
While New York City, the Bay Area, and Los Angeles continue to dominate the list of wealthiest U.S.cities, Texas has emerged as a meaningful player. The Lone Star State boasts three cities within the top 10, signaling its growing appeal to investors and business leaders. This surge reflects Texas’s business-friendly environment and robust economic growth.
The wealth Divide: A Growing Concern
The concentration of wealth in these cities underscores a broader trend of increasing income inequality across the United States. As the pandemic, the gap between the wealthiest and the rest of the population has widened significantly. Oxfam reports that, at a global level, billionaire wealth grew by $2 trillion in 2024, three times faster than the year before.
The U.S.is home to 37% of the world’s billionaires. A Congressional budget Office report from last year revealed that the top 10% of wealthy Americans control 60% of the nation’s wealth, while the bottom 50% hold just 6%.
Wealth inequality in our country is staggering and just growing worse. To me,that wealth inequality creates a lot of social problems.Those who have can call the shots, and those who don’t have to struggle to get by.
Steve Rosenthal, Senior Fellow at the Urban-Brookings Tax Policy Center
Top 10 Wealthiest U.S.Cities
According to Henley & Partners, the following cities rank as the wealthiest in the U.S.,based on the number of millionaires,centimillionaires,and billionaires residing within their limits:
- New York City,New York
- Bay Area (san Francisco),California
- Los Angeles,California
- Chicago,Illinois
- Houston,Texas
- Dallas,Texas
- Seattle,Washington
- Boston,Massachusetts
- Miami,Florida
- Austin,Texas
Wealth Growth Over the Decade
These cities have not only attracted a significant number of wealthy residents but have also experienced ample growth in their millionaire populations between 2014 and 2024. The percentage increase in millionaires during this period is as follows:
- New York: 45%
- Bay Area: 98%
- Los Angeles: 35%
- Chicago: 24%
- Houston: 75%
- Dallas: 85%
- Seattle: 48%
- Boston: 40%
- Miami: 94%
- Austin: 90%
fastest-Growing Wealth Hubs
Beyond the top 10, several other cities have emerged as rapidly growing wealth hubs. Scottsdale,Arizona,leads the pack with a 125% increase in millionaires between 2014 and 2024. Other notable mentions include West Palm Beach, Florida (112%), and Washington, D.C. (92%).
Expert Perspectives
Experts weigh in on the factors driving wealth concentration and its implications:
The remarkable strength of the U.S. stock market has been especially impactful, with the average American centi-millionaire holding over 50 percent of their liquid wealth in U.S. equities. The country has also seen strong wealth growth in rapidly expanding wealth hubs including Scottsdale, the Bay Area, Washington DC, Austin, dallas, and several Florida cities such as West Palm Beach, miami, and Tampa.
Basil Mohr-Elzeki, Managing Partner at Henley & Partners North America
[It] is stating the obvious, that wealth in the United States is concentrated, and getting more so. This has been in the makings, really, for two generations, maybe three. And the trend lines are disconcerting.
Mark Zandi, Chief Economist at Moody’s Analytics
Mohr-Elzeki also notes the U.S.’s dominance in high-growth tech sectors,giving it a significant advantage over Europe. Nearly all the world’s top tech firms call the U.S. home, fueling a booming private equity market with large numbers of American unicorn start-ups emerging.
Looking Ahead
Despite growing interest in dual citizenship among wealthy individuals, the U.S. is expected to continue attracting millionaires. Mohr-Elzeki anticipates this trend to persist, noting that In 2024 alone, the USA attracted approximately 3,800 high-net-worth individuals, 95 centi-millionaires, and 10 billionaires-the latter two being particularly significant as these individuals are typically company founders and entrepreneurs. we anticipate this number will be significantly higher this year.
