As the number of properties lingering on the market continues to grow and mortgage rates remain elevated, February saw some home sellers cut their prices, so much so that the share of housing inventory with price cuts was higher this month than in any February since 2016, real estate listings website Realtor.com reports. Based on data from its February 2025 Monthly Housing Trends report, Realtor.com found that the share of housing inventory with price cuts reached 16.8% after an uptick of more than 2 percentage points since last year, a pattern Realtor.com's chief economist Danielle Hale describes as "highly unusual seasonal growth."
Regionally, the South and West saw the greatest surge in homes with price reductions at 2.1 and 2.5 percentage points, respectively, compared with last year. Meanwhile, the share of inventory with price cuts was just 0.2 percentage points higher in the Northeast and a modest 1.2 percentage points higher in the Midwest.
Overall, 45 of the nation's 50 largest metros saw the number of homes with price cuts increase since February 2024, up from 41 metros in January.
Denver saw the most dramatic jump, at 8 percentage points, followed by Charlotte, NC (+6.4 percentage points), and Tucson (+6.3 percentage points). Read more