LAS VEGAS (FOX5) -- Las Vegas has made the list for one of the most overvalued housing markets in the United States.
A new study by Florida Atlantic University and Florida International University ranked the Las Vegas area #9 in the top ten overvalued large housing markets. According to the analysis, Las Vegas homes are selling for 41.88% above their long-term pricing trend.
“In the Top 10 markets, potential buyers might want to consider renting and reinvesting money that they otherwise would have put into homeownership,” real estate economist Ken Johnson said. “Renting and reinvesting has been shown to often outperform ownership in terms of wealth creation.”
Boise, Idaho took the top spot as the most overvalued market, with homes selling for about 80% more than they should, based on historic pricing.
Here are the top 10 most overvalued housing markets, according to the study:
|7||Salt Lake City, UT||42.41%|
|9||Las Vegas, NV||41.88%|
Honolulu, Hawaii and Virginia Beach, Virginia are among the best deals for buyers, according to the study, with homes going undervalued and selling for an up to 5% discount.
Here are the 10 markets offering the best deals for buyers, according to the study:
|100||Urban Honolulu, HI||-4.93%|
|99||Virginia Beach, VA||-2.46%|
|97||New York, NY||-0.79%|
|96||Baton Rouge, LA||-0.37%|
|94||New Orleans, LA||2.06%|
|92||Little Rock, AR||4.27%|