Global Insight updated their median U.S. home prices and valuations for the 3rd quarter of 2006.
• House prices continued to climb during the third quarter, though at the slowest pace “” 1.5 percent “” since 1994.
• Sixty-three metro areas were judged to be over-valued during the quarter, representing a decline from 66 metro areas during the second quarter. More important were declines in the share of all housing units, and real estate assets, judged to be over-valued. In terms of housing units, the percent deemed to be overvalued declined from 21 to 17 percent. In terms of single family asset value, the percent deemed to be over-valued declined from 39 to 33 percent. Clearly, we interpret the evidence as reflective of prices reverting to their historic norms.
Nevertheless, all of Arizona’s major cities were in the top 60 overvalued U.S. cities according to Global Insight.
The report is a must-read for national real estate investors.
ATTN: U.S. RESIDENTIAL REAL ESTATE INVESTORS
Call or email me for a referral to Texas Realtors who specialize in residential Texas investment properties, 480-600-0947.