When It Comes To House Prices - How High Is Too High

If you think home prices in Panama City are too high, you are not alone. So does U-S-A - Today.

In Wednesday’s editions the newspaper quotes a report from Richard Dekaser, chief economist of the National City Corp.

According to the report "single family homes are extremely overvalued in 53 cities, which make up a third of the country's housing markets.

Panama City ranks 41st in the report with housing prices at 35% extremely over-valued.

Ft. Walton Beach was ranked at # 63 with property 27% overvalued.

Pensacola ranked 90th out of 299 housing markets as being over-valued by 19%.

Tallahassee was list as the 99th overvalued area by 18%.

U-S-A -Today says the top 53 markets, including Panama City, are at high risk of price declines.

The economist says it doesn’t mean big corrections are imminent. Though the market could be at a crest, and could be at high risk for price declines.