Comparing listings from July 2022 to July 2023 in the largest 150 metropolitan areas, Realtor.com has found the top 10 cities where home prices are being slashed. The top market with a 69.6% increase in price reductions is Huntsville, Alabama, followed by Lafayette, Louisiana, with a 69.25% increase in price cuts.
Just 29 of the 150 largest metropolitan areas saw a year-over-year increase in the number of homes with price reductions in July. Across the country, only about 15.5% of all homes listed on Realtor.com underwent a price cut that month. That was down from 19.1% the previous July.
The ones that are currently seeing a spike in price cuts tend to be in the South and Midwest, where the number of homes for sale has been growing along with prices. All but one of our top 10 price-reduced markets experienced a double-digit increase in inventory compared with a year earlier.
“What we’re seeing in the housing market is a reversal of what we saw in the [COVID-19] pandemic,” says Hale. “Areas that attracted a lot of remote workers and saw prices skyrocket are seeing trends slow.”Read More