New York City tied with Honolulu for the most overpriced city in the U.S., according to an annual Forbes Magazine list.
The study relied on the quarterly Housing Opportunity Index to rank the 100 largest metropolitan areas based on housing affordability. It then factored in the Cost-of-Living index and Consumer Price Index.
California had more overpriced cities on the list than any other state, with nine. The New York area has a population of 11.6 million, Housing Opportunity Index of 23.4, and Cost-of-Living Index of 120.2.
Honolulu, Hawaii, has a population of 953,200, Housing Opportunity Index of 46.8, and Cost-of-Living Index of 138.6. The median sales price for a single-family Honolulu home was $430,000 as of 2013’s fourth quarters, according to National Association of Homebuilders data. [Forbes] — Mark Maurer