Appraisers make a distinction between “price” and “value”. A house that’s overpriced is one in which the price is not supported by the current sales data.

A house can be very fairly priced and still be horribly overvalued. Or undervalued, for that matter. We would say that most sales that occurred in 2005 were probably fairly priced at the time but have proven to have been overvalued relative to the economic fundamentals.