These are the most undervalued cities in the US this year, study says

By Real EstateFOXBusiness

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If you want to move to a city where you’ll get the most bang for your buck, a new study suggests you should look to Pittsburgh ⁠— or at least consider heading to the east coast.

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On Tuesday, SmartAsset released a study on the most undervalued cities in the U.S. this year and Pittsburgh came out on top.

The company looked at 189 of the largest cities in the U.S. and created a formula to calculate how undervalued each city was, using home value per square foot and eight other quality of life metrics including: violent crime rate per 100,000 residents, high school graduation rate, walkability, unemployment rate and concentration of dining and entertainment establishments.

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The formula determined how much a home should be valued based on the specific metrics and once that was determined, the actual home value — based on Zillow data — was subtracted from SmartAsset’s calculated number.

“The city with the largest positive difference ranked first while the city with the largest negative difference ranked last,” analysts said in the study.

Based on SmartAsset’s formula, the Pittsburgh’s home value per square foot should be $262.79, but it’s actually only $104.50.

That leaves Pittsburgh undervalued by $158.29, making it the most undervalued in the U.S., a spot it held last year, too. In fact, the company reported eight of last year’s undervalued cities made it on the list again this year, but in a different order.

The study also found that six cities were on the east coast and three were in Pennsylvania. No cities from the west coast landed on the top 10 list.

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Based on SmartAsset’s findings, here are the 10 most undervalued cities in the U.S. in 2019:

1. Pittsburgh, Pa.

2. Newark, N.J.

3. New Haven, Conn.

4. Philadelphia, Pa.

5. Baltimore, Md.

6. Providence, R.I.

7. Chicago, Ill.

8. Charleston, S.C.

9. St. Louis, Mo.

10. Allentown, Pa.