In May 2025, the share of for-sale homes with price reductions reached 19.1%, the highest for any May since 2016, signaling a trend of increasing compromises by sellers. This rise in reductions, seen for five consecutive months, especially affects the South and West regions, facing affordability issues and lower buyer demand. Phoenix leads with the highest rate of discounted listings at 31.3%. Median prices, such as $525,000 in Phoenix and $600,000 in Denver, reflect a downturn compared to last year amid longer market durations for homes.
Price reductions have become more common in each of the past five months, a trend suggesting that sellers are adjusting their expectations in the face of affordability challenges and weaker buyer demand in some markets.
Of all the major metro markets, Phoenix boasted the greatest number of listings with price cuts, at 31.3%, up more than 7 percentage points from the same period last year amid rising inventory.
Collection
[
|
...
]