The U.S. housing market is experiencing notable shifts, and plummeting home prices are becoming a major trend in several once-desirable cities. For potential buyers who have been waiting for a more favorable market, now could be the right time to take action. According to data from Realtor.com, cities across the country—from Florida to California—are seeing sharp year-over-year declines in median home prices, creating new opportunities for affordability in areas that were previously out of reach.
Cities with Plummeting Home Prices
Miami, FL
- Median List Price: $525,000
- Year-Over-Year Change: -12.4%
Miami tops the list, with plummeting home prices seeing a 12.4% drop. While the city’s allure as a beach paradise remains strong, the recent drop in prices is linked to the post-pandemic cooling of demand, coupled with overbuilt inventory.
Cincinnati, OH
- Median List Price: $337,000
- Year-Over-Year Change: -9.5%
Cincinnati’s home prices have decreased by 9.5%, making it an attractive option for buyers in the Midwest. The affordability of the region, coupled with its recent dip in pricing, adds to its appeal.
San Francisco, CA
- Median List Price: $997,500
- Year-Over-Year Change: -8.9%
Known for its high cost of living, San Francisco has seen a significant correction with plummeting home prices down by 8.9%. The tech industry’s shift toward remote work has played a large part in this decline.
Kansas City, MO
- Median List Price: $389,500
- Year-Over-Year Change: -8.4%
Kansas City is among the Midwestern cities feeling the pinch, with home prices falling by 8.4%. This market shift could be a reflection of more buyers seeking affordability in surrounding regions.
Austin, TX
- Median List Price: $520,000
- Year-Over-Year Change: -6.6%
Once a booming housing market due to tech influx, Austin now shows a cooling trend with a 6.6% drop in home prices. As demand softens, plummeting home prices here offer an opportunity for those who had previously been priced out.
Jacksonville, FL
- Median List Price: $399,000
- Year-Over-Year Change: -6.1%
Jacksonville continues Florida’s trend of declining prices, with a 6.1% reduction. The post-pandemic market correction and a surge in construction have contributed to this decrease.
Denver, CO
- Median List Price: $610,250
- Year-Over-Year Change: -6%
Denver’s housing market has been cooling after years of sharp increases, with prices now down by 6%. The slowdown in demand has opened the door for more buyers to enter this previously red-hot market.
Orlando, FL
- Median List Price: $429,950
- Year-Over-Year Change: -5.6%
Orlando’s plummeting home prices reflect the broader trend seen across Florida. With a year-over-year drop of 5.6%, the once-surging market now offers a more attainable entry point for new homeowners.
Tampa, FL
- Median List Price: $414,948
- Year-Over-Year Change: -5.5%
Tampa has also joined the list of cities with plummeting home prices, with a 5.5% decline. The post-COVID boom has given way to a more balanced market as inventory rises and demand slows.
Nashville, TN
- Median List Price: $547,865
- Year-Over-Year Change: -5.4%
Rounding out the list is Nashville, which has seen prices fall by 5.4%. This popular music city is now a more affordable option for buyers looking for Southern charm without breaking the bank.
The National Market Shift
The housing market’s trajectory in 2024 points to a more buyer-friendly environment, especially in these 10 cities where prices have decreased the most. According to Realtor.com, the shift in home prices is largely due to over-inflated markets correcting themselves after a period of extraordinary demand. The combination of rising mortgage rates and increased inventory has cooled many of these previously red-hot markets, leading to opportunities for buyers to capitalize on plummeting home prices.
For buyers, the decline in home prices across these cities presents a unique opportunity to enter the market, especially as affordability remains a major concern for many Americans. Whether you’re looking to buy in Miami, Austin, or San Francisco, the downward trend offers a glimmer of hope for potential homeowners. As always, staying informed about market trends and working with a knowledgeable real estate agent can help you navigate the landscape of plummeting home prices effectively.
