Home Prices Drop in 33 Major Metros—and Pandemic-Era Boomtowns and Coastal Cities Take the Biggest Hit
Nationally, 33 of the 50 largest U.S. metros saw year‑over‑year price declines, with inventory rising for the 21st straight month, median days on market increasing by ~7 days, and 20%+ of listings receiving price cuts.
Advantages for Buyers
- More choice & negotiation power: Rising inventories in markets like Austin, Miami, Denver give buyers leverage and time to negotiate Media | Move, Inc..
- Widespread price reductions: Price drops are most pronounced in Denver (~38%), Austin (~31%), and Miami (~18%), increasing buyer options.
- Longer market timelines: Homes are taking longer to sell (Denver ~52–65 days), reducing urgency and leveling the playing field New York.
Challenges for Sellers
- Expectations vs. reality: Many sellers still price to 2022 peaks and resort to delisting rather than dropping prices, as seen in Austin and Denver New York Post+4Colorado Association of REALTORS+4New York Post+4.
- Longer holding periods: With slower sales and rising carrying costs, sellers in slower metros face more risk of expired listings or withdrawals Colorado Association of REALTORS.
- Buyer leverage continues building: Even in Denver, which held up well early in 2025, 60% of closings included seller concessions averaging ~$10,500 Colorado Association of REALTORS+1REcolorado+1.
Metro Snapshot: Denver vs. Broader Trends
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- Denver has transitioned into a buyer’s market, leading the nation with nearly 38% of listings reduced, well above the national average (~27%) Axios.
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- Due to slower absorption and ~4.4–4.7 months supply, buyers in Denver benefit from options and concessions, while sellers must price strategically and offer incentives Colorado Association of REALTORS.
Bottom Line
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- The South and West are shifting decisively toward buyer-favorable conditions, with steep price cuts, slower sales, and rising inventory.
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- Buyers are gaining power, with more choices, more flexibility, and the ability to negotiate.
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- Sellers now need strategic pricing, patience, and concessions to succeed in cooling markets.
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- 60% of renters say they’re unlikely to ever buy a home
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- Only 5% plan to buy within the next year
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- Yet inventory is rising, price cuts are common, and sellers are making more concessions
What This Means for You:
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- More homes to choose from
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- Greater price flexibility
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- Less buyer competition
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- Stronger negotiation power
If you’ve been on the fence, now could be the time to make your move – especially in markets like Denver, Austin, and Miami, where prices are falling and options are growing.
