When do home sellers typically slash their asking price and how deep do the discounts get?

Always on the prowl for a good deal, are you? Well, look no further than the house market. Since the bubble burst and bit the dust, buying a home just keeps getting cheaper. As a matter of fact, Trulia tallied that a whopping $24 billion was slashed from the homes for sale on our site.

Good Savings Come to Buyers Who Wait
Most home sellers on average will cut their price after 79 days on the market, give or take. If they still can’t sell their homes, 35% of these sellers will make a second cut. So if I were a buyer, let’s just say patience is a major money saver as it definitely worth the wait when you’re negotiating a good price.

Looking at just the 50 largest U.S. cities, here’s a snapshot of where price cuts are quick to happen and where sellers are dragging their feet.

# U.S. City Average Days Before First Cut
1. Minneapolis, MN 45
2. Oakland, CA 48
3. Phoenix, AZ 48
4. Sacramento, CA 49
5. San Diego, CA 50

 

# U.S. City Average Days Before First Cut
1. New York, NY 80
2. El Paso, TX 79
3. Charlotte, NC 75
4. Cleveland, OH 74
5. Raleigh, NC 71

Detroit Home Sellers Offer Deepest Discounts
Across the board, most home seller in the U.S. slash about 7% off their original listing price when they make their first cut. Honestly, this doesn’t seem like much especially when you keep hearing about how low home prices have fallen on the news.

While we have yet to see a flash sale or coupons for homes (a la Groupon and RueLaLa), big discounts can be found in foreclosure hotspots like Detroit where sellers will cut 19% on average. Right now, homes can be bought and sold there for less than $50,000 so any additional price cuts is like getting a discount on a discount. While Americans¬†aren’t exactly flocking to “Motor City” right now, those who are looking to buy will likely get an unbelievable deal.

# U.S. City Average Discount During First Cut
1. Detroit, MI 19%
2. Miami, FL 11%
3. Columbus, OH 11%
4. Baltimore, MD 10%
5. Atlanta, GA 9%