Home Prices Are Falling Fast in These 3 Cities—and Eager Buyers Are Snapping Them Up

Home sellers frustrated with their listings lingering on the market are taking action instead of delisting them—they’re dropping prices.

The current number of listings on the market now sits at more than 1 million, according to the Realtor.com® June 2025 Housing Market Trends Report. And coupled with that, falling median price declines can be found in major metros.

This tends to happen due to several factors: increased supply, a decrease in demand, and rising interest rates.

“On the buyer side, demand is still very low,” says Jake Krimmel, senior economist at Realtor.com. “The trifecta of still-high prices, high interest rates, and low consumer sentiment means that buyers remain cautious. Because many prospective buyers are also homeowners (and therefore future sellers), they might not be in a rush either due to mortgage rate lock-in or high levels of equity.”

Three cities in particular have seen the biggest year-over-year median price decline: Cincinnati (-6.3%), Sacramento (-4.8%), and Miami (-4.7%).

Cincinnati, OH

Despite Cincinnati having the biggest median price decline year over year, the number of active listings is up a healthy 28.8% in the same time period, meaning more homes are waiting for buyers. New listings are also up 8% year over year, which means sellers are possibly hoping to catch summer homebuyers or anticipating mortgage rate shifts.

And here’s the kicker: Homes are flying off the market almost immediately, with a median time on the market of just one day.

With a median list price of $355,000—still very affordable compared with many other metros—Cincinnati’s market looks fairly approachable. The city has plenty of inventory, but strong demand keeps things moving fast for both buyers and sellers.

“Cincinnati posted a 6.3% median list price decline (year over year) in June—tops in the nation. But drilling down further, the prices actually went up 1.1% year over year on a square-foot-adjusted basis in the Queen City. This tells us two things are probably going on: Homes being listed this year are smaller than those last year (median square footage is down 5% year over year), and demand for smaller homes is increasing, likely for affordability reasons,” says Krimmel.

“On other metrics, the Cincinnati market is performing well: Median days on the market is rather flat year over year and still below pre-pandemic levels, new listings are healthily increasing but not booming, and sellers are cutting prices at a lower rate than the national average.”

Sacramento, CA

Sacramento is seeing an even bigger jump in active listings—up 47.5% compared with last year, as well as ranking second when it comes to median price declines.

New listings are up a modest 5.2%, meaning homeowners are still interested in selling, according to the report. Homes aren’t idle for too long, though, with a median time on the market of seven days, showing solid buyer interest for well-priced properties.

But sellers here are changing things up, as 5.9% of listings have had price reductions. The median list price is $632,463, which is higher than the national median, making affordability a struggle for first-time buyers.

“Time on market is creeping up some (a week longer than last year, which is around the national average), but the bigger story here are price reductions and a slowdown in new listings. Here it looks like we have a case of motivated sellers: They are cutting prices at a high clip, and increasingly, homes are being priced to sell,” says Krimmel.

Miami, FL

Miami’s market is showing clear signs of softening. Active listings jumped 35%, meaning there are many more homes on the market compared with last year.

Homes are staying on the market longer (median of 15 days), which might seem like an eternity compared with Miami’s usual lightning-fast pace. With a median list price of $510,000, Miami is priced above the national median, and buyers are feeling the pinch from affordability issues.

The Miami market’s unique challenges—like rising insurance premiums and high homeowners association fees—could be adding a layer of complexity to buyer decisions.

“In Miami, sellers are more patient and possibly stubborn when it comes to dropping prices,” says Krimmel. “Time on market is up over two weeks from last June, and price cuts are stable at about 19% of listings—slightly below the national average, which is a bit surprising given the softening of the market.”

Many prospective buyers are weighing the benefits of coastal living against these added costs, which might slow some demand but haven’t yet triggered a widespread price drop. For sellers, this means competitive pricing is crucial to stand out.