A new study confirms what Spokane homebuyers have long suspected: The Lilac City is one of the most overvalued real estate markets in the nation.
Researchers from Florida Atlantic University and Florida International University released a list of the top 100 most overpriced housing markets nationwide.
Spokane ranked sixth with home prices more than 45% above expected value based on past pricing history.
Potential homebuyers in the most overvalued markets are paying peak prices and could find themselves later selling properties for less if there’s a market correction, said Ken H. Johnson, a real estate economist and associate dean at FAU’s College of Business.
“(Spokane) is near the peak and you don’t want to be the last person to buy at the peak,” he said.
Ken Johnson and Eli Beracha, director of FIU’s Hollo School of Real Estate, compiled the list of overvalued cities by using a 25-year history of…