Very interesting insight into the process Mike. I had presumed the ‘overvaluation’ or overpriced position was based on the relationship from median family against monthly payments against median home values, or something like that. And soon to come, this new qualification relief where borrowers can tap their prequalification at 50% instead of just 40% or whatever those numbers are and will be. But the truth for regular everday 9-5 workers whom consume mortgage products is that rising energy costs coupled with basic inflation for all costs of services and goods quickly chomps up available free spending margins. Our personal path to success was to keep our buy at 80% max of our prequal level. I can’t imagine buying at the peak, we’d have absolutely no spending cash. The thing about big companies, is that regular consumers are advised to examine the details of their own budgets and affordability factors first and foremost. All this aggregate data is just background noise in the end, when you’re counting monthly dollars left in your pocket.

OK. “To determine if a market is overvalued, CoreLogic compares current prices to their long-run, sustainable levels, which are supported by local economic fundamentals like disposable income. An overvalued market is one in which home prices are at least 10 percent higher than that level. The rest of the top 10 markets are considered “at value,” but none are undervalued, as prices are higher in all of them compared with a year ago.” 

So, according to Coreillogical if a market has a 10% appreciation rate over it’s undefined ‘long term’, arbitrarily decided sustainability level it is over valued?  …and the clapping seals in the grab-any-sound-bite media without asking questions repeat the Chicken Little rumor. IF they keep it up long enough, eventually it may even turn out to be correct. Based on that false metric California should once again have been over valued statewide as well.

When will the media and those who are responsible for disseminating accurate economic information recognize that just being a big data aggregate like CL does NOT give them any credible credentials as analysts? They collect LOTS of data, but so far I’ve yet to see them arrive at an accurate conclusion about what that data actually means.

They DO like to act like they should be listened to though! How can any company with access to so much information continually get it so wrong?

I cant wait to read CL’s excuses when those markets have still not collapsed six months from now (barring large bumps in interest rates in short time frames).

I’m guessing their corporate policy manual includes copies of the Story of Chicken Little and The Emperors New Clothes…as models to be emulated!

IDX, Clareity, both Matrix integrated technology. They both use T3 consultants, isn’t that convenient.
This brings good insight, the total competition spread for MLS, looks like Corelogic tries, tries again, and then buys out other companies rather than admit defeat.
https://www.inman.com/2017/03/08/clareitys-2017-mls-satisfaction-rankings-would-you-choose-your-system-again/

https://www.housingwire.com/articles/40921-corelogic-acquires-real-estate-tech-and-consulting-firm-clareity-security-solutions?utm_source=dlvr.it&utm_medium=facebook&utm_campaign=housingwire