Here’s a weekend data quickie for you. I just finished up a series of posts regarding price reductions on Redfin’s ten local blogs around the country, and I noticed something interesting in the data.
The data they sent me is pulled directly from their database, and so includes MLS, FSBO and REO listings. We calculated the total percent of all listings in each city/town and neighborhood that were price-reduced at some point before leaving the market (either sold or removed unsold from the market) in the past 90 days. Cities/towns or neighborhoods in which the number of homes taken off the market was too small to provide believable estimates are excluded from ranking.
In the table below I have simply posted the median price-reduced ratio for each market’s cities/towns and neighborhoods. (Click a column header to sort.)
| Metro Area | Cities/Towns | Neighborhoods |
|---|---|---|
| Boston | 47.1% | 48.6% |
| Chicago | 52.0% | 48.0% |
| Los Angeles | 31.1% | 36.9% |
| New York | 38.4% | 31.9% |
| Orange County | 36.1% | 37.0% |
| San Diego | 30.2% | 28.0% |
| San Francisco | 35.1% | 33.3% |
| Sacramento | 25.5% | 27.7% |
| Seattle | 52.1% | 47.7% |
| Washington, DC | 50.2% | 44.9% |
Note that Seattle cities/towns have the largest median price-reduced ratio among Redfin’s markets, and Seattle-area neighborhoods rank third, less than a full percentage point below the #1 slot.
Compared to Redfin’s California markets, Seattle sellers seem especially unrealistic. I just thought this data was an interesting look at the psychology of sellers here and around the country.