SC has 3 of the most overpriced US housing markets in 2024. Here’s where and by how much
Three South Carolina housing markets are among the most overpriced in the U.S., data from a pair of Florida universities shows.
The three South Carolina markets, Columbia, Greenville and Charleston, were all listed as overvalued by double digits.
Of the biggest 100 U.S. metro housing markets considered overvalued, Columbia ranked 31st at 27.98%, Greenville ranked 33rd at 27.73% and Charleston ranked 38th at 26.85%. Here’s more of a breakdown.
Columbia
- Avg. price: $246,029
- Expected price: $192,241
- Overpriced: 27.98%
Greenville
- Avg. price: $292,558
- Expected price: $229,052
- Overpriced: 27.73%
Charleston
- Avg. price: $432,126
- Expected price: $340,668
- Overpriced: 26.85%
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 calculated 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 2024 compared to the previous two years, but it hasn’t stopped completely.
The median home price was $330,000 in South Carolina for the first quarter of 2024, up 6.5% from the $310,000 median sales price for the same period last year, according to South Carolina Realtors statistics.
Here are the top five most overpriced housing markets in the U.S.
#1 Atlanta
- Avg. price: $382,382
- Expected price: $270,644
- Overpriced: 41.29%
#2 Detroit
- Avg. price: $247,095
- Expected price: $175,984
- Overpriced: 40.41%
#3 Cape Coral
- Avg. price: $399,511
- Expected price: $287,573
- Overpriced: 38.92%
#4 Tampa
- Avg. price: $380,515
- Expected price: $276,275
- Overpriced: 37.73%
#5 Las Vegas
- Avg. price: $419,751
- Expected price: $305,129
- Overpriced: 37.56%
This story was originally published May 7, 2024 at 6:00 AM.
