Real Estate Data for the Rest of Us

articles about “Price Reductions

Fewer Holiday Markdowns On For-Sale Homes This Season

This January, fewer for-sale homes have had their prices reduced than one year ago. Markdowns are especially rare in Oakland, Las Vegas, and Miami, but price reductions abound in New England.

Jed Kolko, Chief Economist
January 16, 2013

Now is the bargain real estate season: asking home prices typically hit their seasonal low point from November through January. This winter, however, markdowns are harder to find. Among all non-foreclosure homes for sale on Trulia, in early January, 33.6% of homes were priced lower than their original listing price. (For homes originally listed more than six months ago, we compared the current price to the price six months ago, not the original price.) One year ago, in early January 2012, 36.7% of homes for sale were marked down from their original listing price.

However, the national average of 33.6% hides huge local differences. In January 2013, the share of homes with price reductions ranges from just 15% in Oakland to 48% in Springfield, MA. Among markets with the fewest reductions today, Miami and Fort Lauderdale stand out as the two locales that also had relatively few reductions one year ago, in January 2012. In contrast, Las Vegas and the seven California markets that round out the top-10 list all have far fewer reductions today than a year ago: in these metros, markdowns have become much harder to find.

Where Real Estate Discounts Are Harder to Find

# U.S. Metro % homes with price reductions, Jan 2013 % homes with price reductions, Jan 2012 Change in % with price reductions, 2012-2013
1 Oakland, CA

15%

31%

-16%

2 Las Vegas, NV

16%

36%

-20%

3 Miami, FL

16%

15%

1%

4 San Jose, CA

20%

31%

-11%

5 Sacramento, CA

22%

35%

-14%

6 Los Angeles, CA

23%

38%

-15%

7 Ventura County, CA

23%

38%

-15%

8 Fort Lauderdale, FL

23%

23%

-1%

9 Riverside-
San Bernardino, CA

23%

35%

-12%

10 Orange County, CA

23%

41%

-18%

Among 100 largest metros. Based on all listings on the second Wednesday in January (January 9, 2013, and January 11, 2012). Changes might not equal the difference due to rounding.

… continue reading

0 comments