- Home-buying is finally cooling off, but you can still check out where buyers have shelled out the most.
- The data comes from a monthly study from Florida Atlantic University and Florida International University
- It calculates the most "overvalued" housing markets out of 100 US cities.
The housing market looks like it's slowing down, but you can still check out the latest data that shows where buyers are "overpaying," according to one study.
A monthly data drop late last month from Florida Atlantic University and Florida International University calculates where buyers are shelling out big for homes in the largest 100 US cities.
It uses data from April and calculates where buyers are paying the largest "premiums" for homes.
RealEstate Agent.com defines premiums in real estate as how much people are spending over the "expected prevailing price."
"The high cost of housing across the country is playing out in once-remote markets and major metropolitan areas," the release added.
Cities like New York and San Francisco are not high on the list for being expensive "because homes in those two metros still are selling relatively close to where they should be, based on historical trends," it said.
Here are the top 10 cities where these researchers calculated buyers are overpaying the most. The percentage reflects how "overvalued" each market is.
1. Boise, Idaho: 72.64% overvalued
Boise has been a hot destination for Californians and apparently, millennials. Home prices skyrocketed as a result, and they're are just starting to level off a bit, Bloomberg reported.
2. Austin, Texas: 67% overvalued
One real estate consultant, Nicholas Gerli, calculated Austin housing costs have gone up 93.5% in the last two years, Insider previously reported. He obtained the figure by measuring how much annual housing payments went up, using increases in mortgage payments and property taxes.
Austin has been a desirable relocation spot for tech companies for years.
3. Ogden, Utah: 64.73% overvalued
Ogden is about 40 miles from Salt Lake City.
4. Las Vegas, Nevada: 61.48% overvalued
5. Atlanta, Georgia: 58.01% overvalued
In Atlanta, from March 2021 to March 2022, the median home price went up 22%.
6. Phoenix, Arizona: 57.94% overvalued
For years, Phoenix has become more and more popular with young people seeking warm weather year-around.
7. Provo, Utah: 57.02% overvalued
This is another smaller city near Salt Lake City.
8. Fort Meyers, Florida: 56.26% overvalued
While many western locales, such as Phoenix and Boise, saw an influx of former California residents, many disaffected East Coasters flocked to or purchased homes in various markets in Florida during the pandemic. It is still happening, the New York Post reported.
9. Spokane, Washington: 56.25% overvalued
Gerli's analysis found that average housing payments in Spokane, Washington, went up 72.5% from 2020 to 2022. Alisha Benson of nonprofit Greater Spokane told KXLY that people enjoy its small-town feel. "We're big enough but small enough," she said.
10. Salt Lake City, Utah: 55.75% overvalued
Salt Lake City also saw an influx of Californians, KSL reported.