Bubble Mostly In California: Economist
A report put out by an investment banking firm identifies 27 "urbanized areas" as experiencing housing price bubbles. "Economist Michael D. Youngblood, notes that 20 of the 27 UAs facing a bubble are in California. FBR determined the existence of home price bubbles by creating a ratio of median house prices to per capita income".
The analysis also expects the prices will not come down until "economic activity in each UA "has contracted for a minimum of four quarters."