Zillow ranked markets based on the percent of the population between 29 and 43 years old, among several other metrics. Credit: Michael Karlis

In common with other U.S. cities, home values in San Antonio have increased dramatically over the last two years. However, the average single-family home in the Alamo City could be overvalued by as much as 31.3%, according to a recent report first reported on by Fortune Magazine.

Academics at Florida Atlantic University’s College of Business calculate how “overpriced” or “underpriced” home prices are in America’s 100 largest housing markets, and publish their findings at the end of every month. Researchers determine whether homes are overvalued by comparing the “historical implied price” to the Zillow Home Value Index — an average estimated value based on recent sales and listings.

According to the university’s April 30 report, estimated home values in San Antonio are overvalued by 31.3%.

Still, that prospective overvaluation only makes the Alamo City the 45th most overvalued market in the nation. Researchers reported that homes in Austin are overvalued by as much as 67% — the second most overvalued market in the country, just behind Boise, Idaho.

Dallas-Fort Worth came in at No. 18, with homes overvalued by 48.35%, while homes in Houston were overvalued by 29.41%.

The argument by academics at FAU that most homes in the U.S. are astronomically overvalued is supported by Moody’s Analytics. Unlike FAU’s report, the bond rating agency compared whether local incomes could afford the price of local homes. According to the Fortune article, the Moody’s report found that San Antonio’s housing market was overvalued by 25%.

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This article appears in May 18-31, 2022.

Michael Karlis is a multimedia journalist at the San Antonio Current, whose coverage in print and on social media focuses on local and state politics. He is a graduate of American University in Washington,...