Forbes magazine has calculated what it considers the most overpriced U.S. housing markets by estimating a “price-to-earnings” (P/E) ratio for each of the 40 largest metro areas. Just like the P/E of a stock, this value attempts to measure the price a home owner would pay for $1 of return. It was figured by dividing each market’s median home price by annual rents minus taxes and insurance. The average...
