Approximately 14 percent of all home listings had a price cut in June, according to new data from Zillow
. During the first half of this year, the share of listings with a price cut increased by 1.2 percentage points, more than double the same period last year and the highest January-to-June increase recorded by Zillow.
The share of price cuts in June increased in several of the nation’s most expensive housing markets, including San Diego (20 percent of all listings) Seattle (12 percent). Higher-priced listings have seen a disproportionately large increase in price cuts in 23 of the 35 largest metros since the beginning of the year, while 16.2 percent of all higher-priced listings in June had a price cut, up 0.9 percent since the beginning of the year.
"The housing market has tilted sharply in favor of sellers over the past two years, but there are very early preliminary signs that the winds may be starting to shift ever-so-slightly," said Zillow Senior Economist Aaron Terrazas. "A rising share of on-market listings are seeing price cuts, though these price cuts are concentrated at the most expensive price-points and primarily in markets that have seen outsized price gains in recent years. It's far too soon to call this a buyer's market, home values are still expected to appreciate at double their historic rate over the next 12 months, but the frenetic pace of the housing market over the past few years is starting to return toward a more normal trend."