Bad news for new home buyers in the Charlotte area: you’re getting one of the worst values in the entire country, according to a new report from Florida Atlantic University and Florida International University.
The newest list of the nation’s most overvalued housing markets is out Wednesday, and Charlotte landed in the top 5 out of 100 metro areas in the U.S. Last year, Charlotte was number 11 on the list.
According to the report, the housing market in Charlotte is overvalued by a little over 54%. The report says the average Zillow property price for the month of December 2022 was at $385,197, compared to the expected price of $250,055.
For perspective, Mecklenburg County Commissioners presented information on Wednesday that showed a stark difference between housing costs and what people are being paid in the county.
In April 2022, the annual income required to purchase a median priced home in Meck County ($382K) was $105K #MeckBOCC
— Joe Bruno (@JoeBrunoWSOC9) January 25, 2023
And it doesn’t get much better across the Tar Heel State -- several other North Carolina cities made the top 25 for overvalued housing prices. Durham was ranked number 16 at 46% overvalued; Greensboro, Winston, and Raleigh came in at 18, 22, and 23, respectively.
You won’t have much luck in Florida, either -- Cape Coral was number 1 on the list at 62.29% overvalued, and Deltona, Palm Bay, Tampa, Lakeland, and North Port all made the top 10.
Large cities like San Francisco, New York, Los Angeles, and Washington, D.C., all made the bottom of the list, but the researchers say that’s because even though the housing prices there are among the highest in the nation, the homes are selling for closer to their actual values.
You can see the full report and the researchers’ methodology at this link.
(WATCH BELOW: ‘It was shocking’: Rising prices have Charlotte renters paying more)