One Of Americas Most Overpriced Housing Markets Is In New York
If there is one thing that has happened in Western New York that has caught many people by surprise, it's the housing market.
The housing market, for both rentals and home sales, has been booming for the last couple of years.
Western New York has seen double-digit percentage increases in both home values and sales prices. Those very much have contributed to Buffalo's housing marketing being one of the hottest in the country.
Investors and regular homeowners alike have been making large profits when those houses hit the market. There have also been record lows in housing inventory or the amount of houses that are available to buy at any given time. Now, while these factors are great for home sellers and real estate investors, it means often bad news for people looking to buy or rent.
Many people all over the region have complained that prices have increased to a point where it's nearly unaffordable. Rental rates have increased even more than that.
Buffalo Is One Of The Most Overpriced Housing Markets In America
According to data published by 24/7 Wall Street, Buffalo is one of the most overpriced housing markets in the entire United States.
It's been pretty clear that housing demand has exploded since 2021. Some areas have seen a 25% or larger increase over the last 24 months or so.
Researchers from Florida Atlantic University’s College of Business analyzed housing data from all over the country and have determined that prices here in Western New York are more than 20% higher than they should be when compared to other markets and historical averages.
This figure, often referred to as a buyer's premium, puts Buffalo squarely among the most overpriced markets in the country. Not that we needed anyone to tell us that based on what we see every day in the neighborhood.