Major Metro Areas at Risk
Since most Americans live in larger cities, here’s where the biggest urban declines are forecasted:
1. New Orleans, Louisiana: -7.2%
Affected by skyrocketing insurance costs, weaker tourism, and existing housing vacancies.
2. San Francisco, California: -6.1%
Prices overshot fundamentals; median home value is around $1.3 million, far above what local incomes can sustain.
3. Austin, Texas: -5.1%
Booming construction led to oversupply, even with strong population growth.
4: San Jose, California: -4.0%
Similar to San Francisco, with sky-high average home prices (over $1.4 million).
5: Honolulu, Hawaii & Denver, Colorado: -3.8% (tied)
Honolulu rarely sees price declines, but pandemic-era growth was unsustainable. Denver, a pandemic “darling,” faces the same correction.
