Miami Housing Prices Grow Even More Overvalued

Housing premiums in the Miami area increased once again despite rising interest rates, with the typical home in South Florida now 34.7% overvalued compared to its long-term pricing trend, having jumped 15-basis points from the month before, according to researchers at Florida Atlantic University and Florida International University.

Prices are still going up in the Miami metropolitan area, but not in the rest of the measured areas in Florida,  according to Ken H. Johnson, real estate economist with FAU’s College of Business. “Price growth should be tepid considering the slowdown in rents and rising interest rates, but South Florida prices continue to rise despite these market forces,” he said.