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World's biggest property bubbles as ranked by UBS
by 8DonCo Thu Sep 27, 2018 1:06 pm
Housing prices in Hong Kong are the most overvalued and at the greatest risk of collapse, according to a report focused on 20 major cities.
UBS Group's Global Real Estate Bubble Index puts Munich, Toronto, Vancouver, London and Amsterdam alongside Hong Kong as cities currently in property bubble territory.
"Major imbalances" are also found in Stockholm, Paris, San Francisco, Frankfurt and Sydney, the report said.
Los Angeles, Zurich, Tokyo, Geneva and New York are merely deemed overvalued, while Chicago is the only city included in the list that is viewed as undervalued.
The UBS researchers found a widespread breadth of the rise in property prices in major cities with prices increasing 35 percent on average over the last five years.
They identified price bubbles as regularly recurring phenomenon in property, defining them as "a substantial and sustained mispricing of an asset." The report said typical signs include a decoupling of prices from local incomes and rents, as well as excessive construction or bank lending.
"Although many financial centers remain at risk of a housing bubble, we should not compare today's situation with pre-crisis conditions," Mark Haefele, chief investment officer at UBS Global Wealth Management, said in a statement.
UBS Group's Global Real Estate Bubble Index puts Munich, Toronto, Vancouver, London and Amsterdam alongside Hong Kong as cities currently in property bubble territory.
"Major imbalances" are also found in Stockholm, Paris, San Francisco, Frankfurt and Sydney, the report said.
Los Angeles, Zurich, Tokyo, Geneva and New York are merely deemed overvalued, while Chicago is the only city included in the list that is viewed as undervalued.
The UBS researchers found a widespread breadth of the rise in property prices in major cities with prices increasing 35 percent on average over the last five years.
They identified price bubbles as regularly recurring phenomenon in property, defining them as "a substantial and sustained mispricing of an asset." The report said typical signs include a decoupling of prices from local incomes and rents, as well as excessive construction or bank lending.
"Although many financial centers remain at risk of a housing bubble, we should not compare today's situation with pre-crisis conditions," Mark Haefele, chief investment officer at UBS Global Wealth Management, said in a statement.
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8DonCo
Re: World's biggest property bubbles as ranked by UBS
by 8DonCo Thu Sep 27, 2018 1:06 pm
Why only Chicago undervalued ?
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8DonCo
Re: World's biggest property bubbles as ranked by UBS
by vietnam4all Thu Sep 27, 2018 1:27 pm
High crimes rates, no one wanted to live there.
These are the big cities, look at small or medium cities như San Jose, Los Gatos, Santa Barbara, Daily City, Palo Alto etc.....home values are also sky rocket
These are the big cities, look at small or medium cities như San Jose, Los Gatos, Santa Barbara, Daily City, Palo Alto etc.....home values are also sky rocket
vietnam4all
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