Nearly 19% of available home listings in the United States saw price cuts in July, offering some American buyers relief amid the country's housing affordability crisis.
The share of available home listings that saw a price cut in July rose to 18.9%, according to a recent report from real estate listings website Realtor.com. That is up 3.4% from the same period last year. It is also higher compared to the share of listings with price cuts before the COVID-19 pandemic.
Nationally, home prices also softened, with the median listing price falling to $439,950 in July from $445,000 in June.
Despite this, mortgage rates remain elevated at 6.49% for the 30-year loan as of the week ending Aug. 15, per data from Freddie Mac. However, the Federal Reserve may soon cut its benchmark rates, which could also influence a decline in mortgage rates.
"Rates remain higher than expected, which means there is less buyer activity," Ralph McLaughlin, Realtor.com senior economist, said in the report.
"The prospect of lower mortgage rates coming this fall may have induced some buyers to wait. This combo has led sellers to lower their prices in order to attract more buyers."
Where Are Sellers Cutting Prices
Of all cities in the US, Tampa, FL, had the largest year-over-year increase in price cuts. The share of listings with price cuts in July was 30.6%, up 9.7% from the prior year.
Following Tampa was Charlotte, NC, with 24.3% of sellers imposing price cuts on their listings. Phoenix came in third with 28% of available home listings with price cuts in July.
Tampa, FL
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Share of home listings with price cuts in July 2024: 30.6%
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Year-over-year increase in homes with price cuts: 9.7%
Charlotte, NC
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Share of home listings with price cuts in July 2024: 24.3%
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Year-over-year increase in homes with price cuts: 9.5%
Phoenix, AZ
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Share of home listings with price cuts in July 2024: 28%
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Year-over-year increase in homes with price cuts: 9.4%
Denver, CO
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Share of home listings with price cuts in July 2024: 32.4%
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Year-over-year increase in homes with price cuts: 8.9%
San Diego, CA
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Share of home listings with price cuts in July 2024: 19.1%
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Year-over-year increase in homes with price cuts: 8.6%
Jacksonville, FL
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Share of home listings with price cuts in July 2024: 27.6%
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Year-over-year increase in homes with price cuts: 8.2%
Atlanta, GA
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Share of home listings with price cuts in July 2024: 24.4%
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Year-over-year increase in homes with price cuts: 7.9%
Raleigh, NC
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Share of home listings with price cuts in July 2024: 20.1%
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Year-over-year increase in homes with price cuts: 7.6%
Virginia Beach, VA
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Share of home listings with price cuts in July 2024: 20.1%
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Year-over-year increase in homes with price cuts: 7%
Sacramento, CA
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Share of home listings with price cuts in July 2024: 20.8%
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Year-over-year increase in homes with price cuts: 6.7%
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