Number of Home Sales Price Cuts Drops Nationally

Price reductions

Since Trulia.com began tracking national home price reduction levels in April 2009, 19% of the current listings on the market experiencing at least one price cut represents the first time these numbers have dropped below 20%, according to Trulia.

Last month, price reduction levels were 10% higher and the current dollar amount reduced from home prices dipped to $21.6 billion, with an average price cut of 11%.

The national data is intriguing

From February 1 to March 1 of this year, these five cities experienced the biggest drop in price reductions:

1. Charlotte, NC – 28% drop
2. Colorado Springs, CO – 19% drop
3. Houston, TX – 19%
4. Raleigh, NC – 19%
5. Jacksonville, FL – 17%

For $1M+ homes, these five cities experienced larger discounts compared to the national average:

1. Columbus, OH – 35% off
2. Mesa, AZ – 22% off
3. Cleveland, OH – 20% off
4. Baltimore, MD – 18% off
5. Las Vegas, NV – 18% off

Nationally, the top five cities with the highest number of listings experiencing price reductions:

1. Milwaukee, WI – 33% of listings with price reductions
2. Phoenix, AZ – 31%
3. Mesa, AZ – 31%
4. Memphis, TN – 31%
5. Baltimore, MD – 30%

Ken Shuman, head of communications at Trulia told Reuters, “Did we pull all of our qualified buyers forward, and what’s the demand going to be like overall whether there is a credit or not come the big selling season? That’s the biggest challenge coming off of the tax credit.”