Homes in 3 SC housing markets among most overpriced in the US. Here’s where and by how much
Three South Carolina housing markets are overvalued by double digits, the latest data from a pair of Florida universities shows.
Of the biggest 100 U.S. metro housing markets considered overvalued, Greenville ranked 26th at 34.35%, Columbia ranked 27th at 33.74% and Charleston ranked 39th at 29.52%.
Researchers from Florida Atlantic University and Florida International University determined what markets were overvalued by analyzing the percentage difference between the expected price of a home and what buyers are actually paying. The expected prices were determined by a statistical model and the actual monthly prices paid came from the Zillow Home Value index.
Basically, if buyers paid more than expected, then that home was classified as overvalued.
The researchers then ranked the most overvalued housing markets of America’s 100 largest metros by determining the premiums buyers have been paying. The larger the premium, the more overpriced the market. The researchers’ data dates back to 1996 and covers single-family homes, townhomes, condominiums and co-ops.
The rise in home prices in South Carolina has slowed in 2023 compared to the previous two years, but it hasn’t stopped completely.
The median home price was $311,032 in South Carolina during the first quarter of 2023, up 22% over the $255,000 median sales price during the first quarter of 2021, according to South Carolina Realtors statistics.
Here are the top five most overpriced housing markets compared to Columbia, Greenville and Charleston.
#1 Atlanta, GA
- Avg. price: $363,322
- Expected price: $242,692
- Overpriced: 49.71%
#2 Detroit, MI
- Avg. price: $231,253
- Expected price: $158,494
- Overpriced: 45.91%
#3 Cape Coral, FL
- Avg. price: $378,261
- Expected price: $260,251
- Overpriced: 45.34%
#4 Tampa, FL
- Avg. price: $363,968
- Expected price: $250,697
- Overpriced: 45.18%
#5 North Port, FL
- Avg. price: $460,394
- Expected price: $318,316
- Overpriced: 44.63%
#26 Greenville
- Avg. price: $269,920
- Expected price: $200,092
- Overpriced: 34.35%
#27 Columbia
- Avg. price: $230,520
- Expected price: $172,368
- Overpriced: 33.74%
#39 Charleston
- Avg. price: $402,017
- Expected price: $310,390
- Overpriced: 29.52%
Below is a map that shows how many homes have been sold so far this year in each South Carolina county.
