San Francisco, Los Angeles and Boston are in danger of becoming real estate bubbles, according to Zillow.
A third of real estate experts surveyed by Zillow said that the San Francisco housing market has already become a bubble. Another 20% believe that conditions are ripe for it to become a bubble market in the next year.
The responses were derived from a survey of more than 100 experts, who were queried about their thoughts on 20 local housing markets.
"A handful of markets — especially the Bay Area — are very hot right now, and it's possible home values may actually begin to fall somewhat in these places as more residents are priced out amidst rising affordability concerns, especially when interest rates rise," Svenja Gudell, Zillow's chief economist, said in a news release.
In addition to San Francisco, the areas of Los Angeles, Boston, Miami, Houston, San Diego and Seattle are all in danger of becoming bubble markets, the experts said.
