Here’s a list of US cities you might be able to afford after housing prices plummet

Residential real estate is in a constant slide of which market is: buyer, seller or often “no one”.

Now, signs are emerging that a more buyer-friendly market may be on the horizon (although mortgage rates are rising again after falling last month).

That’s because in more than half of the 50 largest U.S. markets, median list prices are down year-over-year — in one case by more than 12%, according to Realtor.com’s September Housing Market Report. ®.

This is great news for weary buyers who have long faced affordability headwinds and home prices that rose to a record high of $445,000 in June 2023.

“The median price of homes for sale this September was down 1% from last year, to $425,000,” says Realtor.com economist Joel Berner. “However, the average price per square foot increased by 2.3%, indicating that the inventory of smaller, more affordable homes continues to increase in percentage terms.”

Even better news? Home prices are falling in some of the most desirable places to live from coast to coast.

Why are prices falling?

In Florida, which has four cities in the top 10, the downward price swing comes after a major COVID-19 pandemic boom.

“The telecommuting trend certainly played a role, but I think a lot of the people who came to Florida were more focused on the benefits of not having a state income tax, as well as political ideologies,” says Robert Washington, owner of Savvy Buyers Realty in St. Louis. . Petersburg, FL.

The influx of new residents attracted Florida builders, who added inventory, which helped lower the average price. (However, in cities such as Miami, median list prices are still 50% higher than before the pandemic.)

It’s also worth noting that this data was collected before Hurricanes Helene and Milton hit the state.

The downward trend in median list prices is also happening nationally, with home prices also falling in popular cities in the Midwest, West and South.

So which markets, in particular, are showing signs of cooling? Read on to find out.

Miami, FL

Median list price: $525,000
Percentage change from year to year: -12.4%

Cincinnati, OH

Median list price: $337,000
Year-on-year percentage change: -9.5%

San Francisco, CA

Median list price: $997,500
Year-on-year percentage change: -8.9%

Kansas City, MO

Median list price: $389,500
Year-on-year percentage change: -8.4%

Austin, Texas

Median list price: $520,000
Year-on-year percentage change: -6.6%

Jacksonville, FL

Median list price: $399,000
Year-on-year percentage change: -6.1%

Denver, CO

Median list price: $610,250
Year-on-year percentage change: -6%

Orlando, FL

Median list price: $429,950
Year-on-year percentage change: -5.6%

Tampa, FL

Median list price: $414,948
Year-on-year percentage change: -5.5%

Nashville, TN

Median list price: $547,865
Year-on-year percentage change: -5.4%