Local News

San Antonio, Austin Tie for Most Overvalued Housing in U.S.

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Tony Maples Photography

 

According to global financial services company Fitch Ratings in a list made for Forbes, San Antonio has caught up with Austin for “the most overvalued housing market in the country.”

To come up with this conclusion, they looked at how quickly the price of homes are increasing compared to “local economic indicators such as unemployment, income, population and mortgage rates.” Unfortunately, San Antonio and Austin are seeing this happen faster than anywhere else in the United States. San Antonio’s homes were overvalued by 8.1% in 2000, but this year they’ve met up with Austin’s markup of 19%.

Homeowners paying taxes and potential home-buyers combing through real estate listings know the effects of this high demand, low supply housing market while sellers are seeing the benefits. Suddenly, San Antonio and Austin are the cool kids at the lunch table, but there’s not much room to sit with them.