1 USA city has the scariest housing bubble in the world (yours?)

I live in Canada, so I know a thing or two about housing bubbles.

In fact, according to a new ranking of the top 10 most overvalued residential real estate markets in the world, two Canadian cities made the cut: Toronto in the East, and Vancouver in the West.

But as bad as those are — and residents would tell you they certainly feel like the worst markets on planet Earth — neither can hold a candle to the scariest market of them all.

There are actually 3 American cities that make an appearance in the Top 10, including one that’s currently holding down the top spot by a fairly wide margin.

Let’s talk about those now.

You might want to think twice before moving to America’s biggest housing bubble city. (Licensed by the author under the Unsplash+ License)

The biggest housing bubbles in America

The new rankings come from Swiss bank UBS, which looked at various factors including price-to-income ratio, price-to-rent ratio, and change in mortgage-to-GDP ratio to determine which housing markets were the most overvalued in the world.

UBS then assigned each city a score corresponding to its real estate status:

• Above 1.5 = bubble risk
• 0.5 to 1.5 = overvalued
• -0.5 to 0.5 = fairly valued