According to the latest numbers from San Francisco-based Trulia.com, fewer people in December are cutting prices for their homes for sale in Miami.
Prices on 21% of homes on the market as of Jan. 1 were cut at least once, down from 22% in the previous month and down from 25.6% two months ago, nationwide.
West Palm Beach had the highest percentage of homes with price reductions in South Florida at 23% – followed by homes for sale in Miami, with 21%, and Fort Lauderdale, with 17 percent.
Representing $26.1 million in price cuts, the average price reduction in West Palm Beach was 14% off the listing price.
The average price reduction for homes for sale in Miami was 15%, representing about $179 million in price cuts.
The average price reduction was 13% in Fort Lauderdale, representing $61 million in total reductions.
In January, the number of major U.S. cities with price reduction levels at 30% was cut in half with just seven cities experiencing reduced prices of 30% or more.
Trulia co-founder and CEO Pete Flint said in a news release, “Consumers have a golden window of opportunity to find a great home and take advantage of the tax credit before mortgage rates return to the 6% level and above.”
You have until April 30th to sign contracts and take advantage of the homebuyer credit and until the end of June to close on the sale.
The following cities have experienced a momentous decrease in price reductions:
- Los Angeles, down 46%
- New York, down 36%
- Memphis, Tenn., down 34%
- Minneapolis, down 33%
- Honolulu, down 33%
Jacksonville saw the highest percentage of listings with a price reduction of 36%, followed by Portland and Milwaukee at 33%. Omaha and Seattle saw a price reduction of 32% and Tucson and Charlotte, N.C., 30%
Those homes priced at $2 million and above are responsible for 24% of the $21.2 billion in cuts and continue to be hit the hardest by price reductions and.
The average discount for homes priced less than $2 million held steady, at 10%.
Foreclosures and short sales were not included in this data.