BOCA RATON, Fla. – A study released Tuesday by researchers at Florida Atlantic University and Florida International University finds that 15 housing markets in the U.S., including one in Florida, are overvalued by 50 percent or more and poised for potential price corrections.
Boise, Idaho, tops the list with homes nearly 73 percent above long-term pricing trends.
Buyers of homes in No. 2, Austin, Texas, are paying nearly 68 percent more than they should, according to the study.
Atlanta, Phoenix and Provo, Utah, lead the communities overvalued by more than 50 percent, including Fort Myers, which moved into the top 10 for the first time, coming in at position No. 8 with homes priced at 56.26 percent over market value.
Lead researchers Dr. Ken Johnson, with FAU’s College of Business and Eli Beracha, with FIU’s Hollo School of Real Estate, said a looming slowdown could help people priced out of the market get into homes, although researchers say affordability will continue to be an issue in growing population centers, including Southeast Florida.
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