trulia-june-2010

Today, Trulia announced that 22 percent of listings currently on the market in the United States as of June 1, 2010 experienced at least one price reduction, which is a slight decrease from 23.6 percent in June 2009. The total dollar amount slashed from home prices was $26.7 billion and the average discount for price-reduced homes continued to hold at 10 percent off of the original listing price.

“Sellers are optimistic heading into the summer season because of the strong sales figures from the spring.  The spring sales were fueled by the expiration of the tax credit and my concern is that this heavy activity is providing sellers with a false state of optimism,” said Pete Flint, co-founder and CEO of Trulia. “We are already starting to see rising inventory levels and I believe this will be the story of the summer.  For the unforeseen future, buyers will continue to have the negotiating power and I expect we will see sellers get aggressive via price cuts throughout the summer.”

Biggest Winners and Losers

Cities in the Western U.S. experienced the largest decreases in price reductions compared the previous year. Las Vegas, NV led the way with a 67 percent decrease and six California cities saw a decrease in price reductions of 24 percent or more, including Oakland, San Jose, Los Angeles, Sacramento, San Francisco and San Diego. The following U.S. cities experienced the biggest decreases in price reductions from June 1, 2009 to June 1, 2010.

Winners:

City State June 1, 2009 June 1, 2010 Percentage Decrease
Las Vegas NV

30%

10%

67%

Oakland CA

27%

13%

52%

San Jose CA

27%

16%

41%

Honolulu HI

31%

19%

39%

Los Angeles CA

32%

22%

31%

Sacramento CA

23%

17%

26%

San Francisco CA

28%

21%

25%

San Diego CA

21%

16%

24%

El Paso TX

19%

15%

21%

New York NY

29%

23%

21%

Austin TX

30%

24%

20%

On the other end of the spectrum, cities in the Midwest and South experienced some of the largest percentage increases in price reductions in year-over-year comparison. Kansas City, MO jumped 55 percent from June 2009 to June 2010, while other cities such as Arlington, TX, Cleveland, OH, Louisville, KY and Houston, TX all saw increases in price reductions of 30 percent or more. The following U.S. cities experienced the biggest increases in price reductions from June 1, 2009 to June 1, 2010.

Losers:

City State June 1, 2009 June 1, 2010 Percentage Increase
Kansas City MO

20%

31%

55%

Arlington TX

18%

26%

44%

Cleveland OH

22%

30%

36%

Louisville KY

21%

28%

33%

Houston TX

19%

25%

32%

Minneapolis MN

31%

40%

29%

Phoenix AZ

26%

33%

27%

Fresno CA

15%

19%

27%

Fort Worth TX

20%

25%

25%

Milwaukee WI

29%

36%

24%

Colorado Springs CO

22%

27%

23%

Mesa AZ

25%

30%

20%

A Class of Its Own

For the second month in a row, Minneapolis, MN saw 40 percent of its listings reduced in price. No other city has reached this mark since Trulia started tracking home price reductions in April 2009. With an average discount for price-reduced homes at eight percent, the city’s total dollar amount slashed from home prices was $26.4 million.

Luxury Market Holds Steady Post Tax Credit Incentive

Price reduction levels for luxury homes (those listed at $2 million and above) continue to hold steady with 21 percent of homes seeing a price reduction and with an average reduction of 14 percent.  Homes in this category account for the less than 2 percent of total inventory but account for almost 25 percent of total dollars slashed off all the homes for sale.

Click here to see the complete June 2010 Price Reduction Data for the Top 50 U.S. Cities

Click here to see an infographic of year-over-year changes for the biggest winner and losers

Rank City State Percent of Listings with Price Reductions Average Reduction (%) Total Amount of Reductions

1

Minneapolis MN

40%

8%

$26,418,585

2

Milwaukee WI

36%

9%

$20,928,865

3

Baltimore MD

35%

11%

$43,472,985

4

Dallas TX

35%

9%

$165,050,376

5

Phoenix AZ

33%

13%

$109,415,226

6

Kansas City MO

31%

9%

$32,325,680

7

Boston MA

31%

7%

$51,934,755

8

Jacksonville FL

30%

11%

$88,206,358

9

Mesa AZ

30%

13%

$31,639,029

10

Cleveland OH

30%

12%

$12,673,024

11

Chicago IL

29%

8%

$197,064,090

12

Columbus OH

29%

9%

$19,276,540

13

Portland OR

29%

8%

$41,808,046

14

Washington DC

29%

10%

$76,551,702

15

Philadelphia PA

29%

9%

$66,350,200

16

Albuquerque NM

29%

8%

$29,720,264

17

Indianapolis IN

28%

7%

$29,883,282

18

Memphis TN

28%

9%

$23,658,192

19

Long Beach CA

28%

9%

$25,849,967

20

Tucson AZ

28%

10%

$60,835,376

21

Louisville KY

28%

7%

$16,077,852

22

Colorado Springs CO

27%

7%

$37,428,990

23

Seattle WA

27%

9%

$64,386,441

24

Raleigh NC

27%

7%

$33,288,493

25

Atlanta GA

27%

10%

$156,635,940

26

Arlington TX

26%

7%

$7,453,080

27

Nashville TN

26%

8%

$35,725,950

28

Virginia Beach VA

26%

7%

$33,520,941

29

Fort Worth TX

25%

7%

$31,565,016

30

Houston TX

25%

9%

$134,207,290

31

Omaha NE

25%

6%

$9,380,000

32

Tulsa OK

25%

6%

$13,514,616

33

Austin TX

24%

7%

$73,167,493

34

Charlotte NC

24%

9%

$73,904,240

35

New York NY

23%

10%

$570,327,380

36

Miami FL

22%

14%

$188,570,284

37

Los Angeles CA

22%

11%

$202,016,369

38

Oklahoma City OK

22%

6%

$10,212,885

39

Denver CO

22%

8%

$46,894,104

40

San Francisco CA

21%

8%

$58,757,160

41

Honolulu HI

19%

7%

$29,227,113

42

San Antonio TX

19%

7%

$44,488,850

43

Fresno CA

19%

11%

$9,880,624

44

Detroit MI

19%

25%

$9,805,488

45

Sacramento CA

17%

10%

$13,492,037

46

San Diego CA

16%

8%

$59,132,612

47

San Jose CA

16%

7%

$21,440,150

48

El Paso TX

15%

7%

$10,390,140

49

Oakland CA

13%

11%

$9,302,061

50

Las Vegas NV

10%

15%

$103,763,480

Trulia Price Reductions

Trulia is the first and only national real estate site to provide consumers with the ability to use price reductions as a search filter in their quest to find a deal in today’s market across all 50 states. Trulia’s Price Reduction feature can be accessed from the Trulia homepage and is deeply integrated into the existing search experience on the search results page and via the advanced search tab. Detailed information regarding multiple price reductions and prior sold data is now available on each property listing page.

Providing home buyers with access to price reduction data empowers them to make more informed decisions regarding which home to purchase and helps consumers get the most home for their dollar. It also helps home sellers price their homes competitively as more homes come onto the market.

Methodology: All price change data is from live listings on Trulia.com, as of June 1, 2010 and tracks all price reductions from June 1, 2009 to June 1, 2010. This data does not include foreclosure properties. Trulia obtains its listing information from brokers, agents, third party aggregators and Multiple Listing Services (MLSs).  The percentage of listings with price reductions includes any non-foreclosure property on Trulia.com that has experienced at least one price reduction since it was first posted on the site. The city level data is for listings within the city boundary, and not for metro areas.