Most Overvalued, Most Undervalued of the 317 Largest U.S. Metro Areas Examined

A new study, House Prices in America, using Global Insight’s extensive proprietary databases on the housing market - which combined data and forecasts for home prices, home sales, housing stock, and household income with a methodology developed by the economics department of National City Corporation — examines current and expected housing prices in the 317 largest U.S. Metropolitan areas.

Study findings indicate that 71 metropolitan areas, representing 39 percent of the nation’s housing market, "are extremely overvalued and at risk for a price correction." While price appreciation continues at a historically high rate - boosted by especially strong increases in markets that are already overvalued - the pace of appreciation is slowing.

Global Insight

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