M
iami tops the list of cities with the highest bubble risk according to this year's UBS Global Real Estate Bubble Index. The city's luxury market boom has driven prices up by nearly 50% in real terms since 2019, with a significant portion of that growth occurring in the last four quarters.The US homeownership market is becoming increasingly unaffordable, with monthly mortgage payments now exceeding household income levels seen during the peak of the 2006-2007 housing bubble. In contrast, Los Angeles has seen stagnant housing prices since mid-2023, partly due to a decline in economic competitiveness and high living costs, leading to a shrinking population and flat rents.New York's housing market remains unaffordable but hasn't corrected significantly, with prices only 4% below 2019 levels and even increasing slightly in the last four quarters. Boston, however, has seen a 20% price increase since 2019, outpacing local rental growth and income, though recent layoffs in key sectors may signal a shift in this trend.Globally, real estate bubble risk has decreased in cities analyzed, with Miami, Tokyo, and Zurich seeing their index rise. Cities like San Francisco, New York, and São Paulo present low bubble risk.