Overvalued Markets in the Rockies
The same report that I mentioned in the previous post also has a list of over-priced markets. Here’s an excerpt from an article about overvalued markets in the Rockies.
Of the cities surveyed in the Rocky Mountain West, St. George, Utah led with a median home price that is 52.5 percent above a reasonable market value. In the same quarter just two years ago it was 1.1 percent overvalued. The study determined that base market value by looking at house prices, interest rates, population densities and historical premiums and discounts.Boise came in second at 28.6 percent more than market value. Two years ago, the overvaluation was at 1.4 percent. Grand Junction, Colo. came in third at 27.8 percent above and Farmington in New Mexico was next at 22.5 percent.
Elsewhere in the Rockies, the overvaluation numbers look like this:
Greeley: 20.8 percent (down from 24 percent two years ago)
Boulder: 15.6 percent (down from 24.8 percent two years ago)
Provo: 11.9 percent (up from 10.6 percent two years ago)
Fort Collins: 9.6 percent (down from 15.5 percent two years ago)
Billings: 8.3 percent (up from 22.7 percent two years ago)
Salt Lake City: 8 percent (up from 10.6 percent below market value in 2004)
Albuquerque: 8 percent (up from 5.7 percent below market value two years ago)
Colorado Springs: 6.4 percent (down from 9.1 percent above in 2004)
Denver: 5.9 percent (down from 13 percent two years ago)And, some big ones near the region:
Bend, Oregon: 76.4 percent (up from 22.7 percent two years ago)
Medford, Oregon: 66.4 percent (up from 25.7 percent in 2004)
Spokane: 23.2 percent (up from .2 percent in 2004)
Prices can swing from being grossly undervalued to highly overvalued, so there’s
no need to panic if you’re investments are listed. You want to look at population and job growth[yet again] and other factors. But its time to start looking for the exit strategy. Places like Bend and Medford should definitely be avoided. St. George and Boise warrant further inspection.
![[del.icio.us]](http://images.del.icio.us/static/img/delicious.small.gif){kind=small}
- How To Buy New Houses At A Discount The past week has been terrible for stockholders of sub-prime lenders. Today a major home builder, Toll Brothers reported that its net profit fell nearly 70% in the 1st quarter. There's a major slow-down in many markets across the country. Inventory is piling up and home prices are dropping. However,......
- Washed out by the Canuks! I'd recently put a bit of money into Canadian Royalty Trusts - the Canadian equivalent of REITs here in the US. Now, thanks to the socialist Finance Minister I'm down 10% today!Toronto stock market tumbles after Ottawa moves to tax income trustsWed Nov 1, 12:34 PMTORONTO (CP) - Finance Minister......
- Utah Housing still booming According to the Salt Lake Tribune Utah housing is still doing well. Utah's home price appreciation, the worst in the country just three years ago, is now the 10th best nationwide. Home prices statewide rose 15.2 percent in the year that ended in June, according to a report released Tuesday......
Related Websites
- Stock Market Bracket – Round 1 Update On Friday June 15th, the first round of the stock market bracket came to an end. Out of the 32 stocks that were selected, 25 managed to outperform the benchmark of the S&P 500. The S&P 500 for the past two weeks declined 1.76%. This decline in the market was......
- Google Hates Links Pages Many small business websites have a links page. Links pages are simply a web page full of links to other websites. These became popular a few years ago as a way of creating reciprocal links with friends and other businesses in an attempt to boost website visitor numbers (traffic)......
- Yahoo! Attempts to Increase Market Value with Investor Presentation Today Yahoo! announced that they filed an investor presentation which details the company's three-year financial plan and strategic initiatives. If you ask me, it is simply a meager attempt to raise the stock price so that Yahoo! can justify the denial of Microsoft's bid to buy them out for $31......
[All content is copyright of Living Off Dividends & Passive Income]
Leave a Reply