Key Details:
- A new Realtor.com report highlights the 10 U.S. cities where homes are selling for the most below the asking price, as of August 2024.
- By the first half of 2024, the typical U.S. home sold for 1.9% below the asking price, marking a significant shift from the pandemic-driven market.
- Florida’s housing supply surged from under 36,000 homes in March 2022 to over 140,000 in August 2024, contributing to sellers being more willing to accept lower offers.
A new report from Realtor.com sheds light on the top 10 U.S. metros where, as of August 2024, homes are selling below the asking price.
Six of those 10 metros are in Florida, which isn’t surprising given how much inventory has grown statewide, making sellers more amenable to lower offers.
Home sales data from May 2022 through August of this year shows a significant shift in the sale-to-list-price ratio from the pandemic-driven market.
Shifting Market Dynamics and Pricing Trends
In May 2022, the typical U.S. home sold for 3.1% above the asking price—the highest over-asking margin recorded during the pandemic. But by the first half of 2024, homes were selling for 1.9% below the asking price.
And among the 10 U.S. metros where homes sold for the most below the asking price, six are in Florida. All 10 are located in the South.
Top 10 Cities Where Homes Sold for Below Asking Price in August 2024:
- Cape Coral, FL: Median home price $349,900; homes sell for 8% below asking.
- Sarasota, FL: Median home price $350,000; homes sell for 7.5% below asking.
- New Orleans, LA: Median home price $350,000; homes sell for 6.8% below asking.
- Miami, FL: Median home price $675,000; homes sell for 6.7% below asking.
- Austin, TX: Median home price $624,900; homes sell for 5.3% below asking.
- Tampa, FL: Median home price $449,900; homes sell for 4.9% below asking.
- Jacksonville, FL: Median home price $310,000; homes sell for 4.8% below asking.
- Baton Rouge, LA: Median home price $289,000; homes sell for 4.4% below asking.
- Orlando, FL: Median home price $399,000; homes sell for 4.1% below asking.
- Nashville, TN: Median home price $560,640; homes sell for 4.1% below asking.
Florida Real Estate Market and Inventory Surge
Florida’s housing supply nearly quadrupled from March 2022 to August 2024, surging from less than 36,000 homes to over 140,000, tempering buyer demand and making sellers more inclined to accept lower offers.
Florida metros—including Orlando, Miami, Cape Coral, and Tampa—rank among the top U.S. cities for new construction per capita, further boosting inventory.
With rising inventory and new construction, Florida buyers have more bargaining power in today’s market, especially in metros where home prices skyrocketed during the pandemic.
Changing Buyer Attitudes and Seller Strategies
Buyers in South Florida are more selective—because they can be.
Not only are they making offers below asking, but they’re also demanding inspections, appraisals, and well-maintained homes. There’s no need to rush into a home purchase, let alone settle for a property they haven’t even had the chance to tour.
It’s also worth noting that, while homes are selling below asking, prices are still significantly higher than pre-pandemic levels. Buyers are still facing higher monthly housing costs compared to before 2020.
Real estate agents aware of the shift in buyer attitudes are encouraging sellers to be realistic about pricing—comparing their homes to similar ones in their area and replicating features that attract today’s buyers.
