Santa Clara at the Bottom of Forbes List

Santa Clara at the Bottom of Forbes List

By Michelle C. Carr-Crowe

Everyone wants to be in the Top 10…except on Forbes list of most overpriced homes.

This newly updated list features Kissimmee/Orlando, Florida as #1.

To find the cities with the most overpriced homes, they ranked the 40 largest Metropolitan Statistical Areas--geographic entities defined by the U.S. Office of Management and Budget, for use in collecting statistics.

Using data provided to Forbes by Altos Research, a Mountain View, Calif.-based real estate research firm, each metro area was ranked on the following:

1) percentage of homes that had seen price reductions, an indicator of inflated pricing;

2) the median number of days spent on the market (the longer homes stay on the market, the more likely they are to be overvalued);

3) and the ratio of median list price (or asking price) to median absorbed price. As an indicator that other previously overpriced areas have evened out, Las Vegas, Sacramento and San Francisco are all at the bottom (#37-40) of the list.

Imagine my relief as a real estate consultant who specializes in selling homes in San Jose, Santa Clara, Sunnyvale, Saratoga, Los Gatos & Campbell, to find out the great news: Santa Clara is near the bottom! We're number 38! Yay! (Only two areas were lower than us).

You can check it out at http://www.forbes.com/2009/12/03/cities-overpriced-sales-lifestyle-real-estate-miami-florida-homes_chart.html 38 San Jose-Sunnyvale-Santa Clara, CA Metro Area 34343724 http://www.forbes.com/2009/12/03/cities-overpriced-sales-lifestyle-real-estate-miami-florida-homes_chart.html.