Core Insights - Nearly 20% of American homes listed for sale experienced price cuts in September, indicating a shift in market dynamics favoring buyers [1][5] - Price reductions are more prevalent in lower-priced homes, while high-end sellers tend to hold firm on prices due to greater financial flexibility [2][4] Market Trends - The percentage of listings with price cuts remained at 19.9%, consistent with August but showing a slight increase from the previous year [1] - Homes priced between $350,000 and $500,000 saw the largest markdowns at 21.6%, while luxury properties over $1 million had a lower reduction rate of 13.3% [1] Regional Variations - Price cut trends varied by region, with only 14% of listings in the Northeast experiencing reductions, compared to approximately 21% in the South and West [7] - Major metropolitan areas like Denver, Portland, and Indianapolis had the highest rates of price reductions, at 30.7%, 30.2%, and 29.7% respectively [7] Inventory and Selling Dynamics - Active inventory increased by 17% year-over-year in September, maintaining over 1 million homes on the market for five consecutive months, although still 14% below pre-pandemic levels [8] - Homes are taking longer to sell, with the median time on the market rising to 62 days, which is one week longer than last year [10] Price Stability and Market Sentiment - The median list price remained stable at $425,000, unchanged from the previous year but approximately 36% higher than in 2019 [10] - The current housing market reflects a more balanced environment, with price reductions signaling a shift towards a buyer-friendly market [5][11]