--- title: These Cities Saw Home Prices Soar During the Pandemic — and Now They’re Getting Cheaper description: Home prices are falling in pandemic boomtowns like Boise and Austin, as high mortgage rates lead sellers to list houses for less. authors: - name: Mary Ellen Cagnassola role: Reporter url: https://money.com/author/mary-ellen-cagnassola/ bio: Mary Ellen (M.E.) Cagnassola is a former Money reporter who specialized in U.S. rent and real estate, with a focus on market trends and affordability. education: Rutgers University, BA Journalism at_money_since: 2021 articles: 205 covers: - Housing - Banking - Business - Career Advice - Credit - Credit Cards - Economy and Politics - Education - Identity Theft - Insurance - Investing - Lifestyle - Loans - Mortgages - Personal Finance - Pets - Professional Services - Retirement - Shopping - Taxes former_staff: true editors: - name: Brad Tuttle role: Senior Editor url: https://money.com/author/brad-tuttle/ bio: Brad Tuttle is a former senior editor at Money with over 10 years’ experience covering a vast number of personal finance topics, including careers, cars, travel, budgeting, investing, insurance, credit cards, consumer psychology, real estate, banking, and shopping and deals. education: Columbia University School of Journalism, MS at_money_since: 2014 articles: 366 covers: - Housing - Banking - Business - Career Advice - Credit - Credit Cards - Economy and Politics - Education - Health and Wellness - Identity Theft - Insurance - Investing - Lifestyle - Loans - Mortgages - Personal Finance - Pets - Professional Services - Retirement - Shopping - Taxes - Technology social: - https://twitter.com/bradrtuttle - https://linkedin.com/in/brad-tuttle-834b225 former_staff: true published: '2023-06-16T20:00:13.000Z' modified: '2024-01-10T14:56:10.000Z' section: Housing tags: - News - real estate word_count: 626 canonical: https://money.com/cities-home-prices-getting-cheaper/ type: NewsArticle source: structured-blocks --- > **Disclosure:** We research all brands listed and may earn a fee from our partners. Research and financial considerations may influence how brands are displayed. Not all brands are included. [Learn more](https://money.com/page/disclaimer/). ![Congress Avenue Bridge during sunset in Austin, Texas.](https://img.money.com/2023/06/News-Cities-Home-Prices-Drop.jpg) *Austin, Texas* U.S. [homebuyers](https://money.com/home-shopper-concerns-inflation-mortgage-rates/) looking to make a purchase this summer may have better luck finding lower list prices compared to last year. Across the country, home list prices are falling for the first time in a few years, according to [a report](https://www.realtor.com/news/trends/where-home-prices-are-falling-the-most-in-america-and-buyers-can-get-the-best-deals/) from Realtor.com. In fact, [pandemic boomtowns](https://money.com/hottest-cities-buying-selling-homes-2022/) where prices have surged starting in 2020 posted some of the biggest year-to-year [price declines](https://money.com/cities-where-home-sale-prices-declining/) in May. Coming after years of strong price growth, and with [mortgage rates](https://money.com/current-mortgage-rates/) now hovering around 6.7% — compared to 5.8% in [June of last year](https://money.com/todays-mortgage-rates-june-1-2022/) — sellers are finally being forced to list their homes for less. Real estate brokerage [Redfin](https://www.redfin.com/us-housing-market) says median home prices in May were down 3.1% from 2022. In its new report, Realtor.com figured out where prices are falling the most by calculating the median price per square foot in the 100 largest U.S. cities in May 2023 and compared it with May 2022. - Home list prices, which have surged year over year since the [pandemic homebuying](https://money.com/homebuyers-overpaid-pandemic-survey/) frenzy, actually went negative last month. Realtor.com says sellers are listing homes for less because buyers can’t afford current mortgage rates. - Western and Southern cities where prices skyrocketed during the pandemic (like [Austin, Texas](https://money.com/best-big-cities/)) saw the biggest year-to-year drops in home prices per square foot. This is partially because new construction in these cities has helped alleviate housing shortages spurred by pandemic-driven migration, according to Realtor.com. - Realtor.com predicts that list prices will continue falling, although economists don’t expect massive declines. A separate [repor](https://www.realtor.com/news/trends/home-prices-are-finally-falling-how-low-will-they-go/)t from the real estate site says that prices fell .9% for the week ending June 10, and year-over-year prices will likely go negative again. Realtor.com predicts prices will mostly flatten out in the next year and see single-digit drops. ## 10 cities where home list prices are falling the most These are the greater metropolitan areas, including towns and suburbs surrounding the main cities, where [median home prices](https://money.com/cities-home-prices-lower-pandemic-boomtowns/) posted the biggest year-to-year declines in May. 1. [**Boise, Idaho**](https://money.com/best-places-to-live/boise-idaho/) Median listing price: $609,875 Year-over-year price per square foot change: -7.8% 2. [**Austin, Texas**](https://money.com/cities-where-home-sale-prices-declining/) Median listing price $583,751 Year-over-year price per square foot change: -7.7% 3. **Myrtle Beach, South Carolina** Median listing price: $366,075 Year-over-year price per square foot change:-7.3% 4. [**Phoenix, Arizona**](https://money.com/hottest-housing-markets-relocate-highest-inflation/) Median listing price: $529,450 Year-over-year price per square foot change: -5.6% 5. [**Sarasota, Florida**](https://money.com/best-places-to-live/sarasota-florida/) Median listing price: $549,900 Year-over-year price per square foot change: -4.7% 6. [**Salt Lake City, Utah**](https://money.com/best-places-to-live/salt-lake-city-utah/) Median listing price: $635,000 Year-over-year price per square foot change: -4.0% 7. [**Pittsburgh, Pennsylvania**](https://money.com/most-affordable-housing-market-world/) Median listing price: $238,250 Year-over-year price per square foot change: -3.9% 8. **Winston-Salem, North Carolina** Median listing price: $345,899 Year-over-year price per square foot change:-3.6% 9. **Sacramento, California** Median listing price: $662,875 Year-over-year price per square foot change: -3.4% 10. [**Chicago, Illinois**](https://money.com/best-places-to-travel/chicago-illinois/) Median listing price: $376,000 Year-over-year price per square foot change: -1.1% ## Keep in mind Realtor.com says there are many cities throughout the U.S. where prices are still going up — mostly in [more affordable markets](https://money.com/top-emerging-housing-markets-spring-2023/) in the Midwest that weren’t as impacted by pandemic price surges as places like Austin or Boise, Idaho. What’s more, cities that were hit hardest by the pandemic homebuying frenzy are posting some of the biggest declines now because their prices climbed so high over the past few years. [Data](https://fred.stlouisfed.org/series/MSPUS) from the Federal Reserve Bank of St. Louis shows that as of the first quarter of 2023, the median U.S. home list price was $436,800, down from $479,500 in the fourth quarter of 2022. While Austin may have seen a 7.7% year-over-year drop in price per square foot, its median listing price of $583,751 is still much higher than the national figure. ```json { "@context": "https://schema.org", "@graph": [ { "@type": "BreadcrumbList", "@id": "https://money.com/cities-home-prices-getting-cheaper/#breadcrumb", "itemListElement": [ { "@type": "ListItem", "position": 1, "name": "Home", "item": "https://money.com" }, { "@type": "ListItem", "position": 2, "name": "Housing", "item": "https://money.com/housing/" }, { "@type": "ListItem", "position": 3, "name": "Home Prices", "item": "https://money.com/home-prices/" }, { "@type": "ListItem", "position": 4, "name": "These Cities Saw Home Prices Soar During the Pandemic — and Now They’re Getting Cheaper" } ] }, { "@type": "WebSite", "@id": "https://money.com/#website", "url": "https://money.com", "name": "Money", "publisher": { "@id": "https://money.com/#organization" } }, { "@type": "WebPage", "@id": "https://money.com/cities-home-prices-getting-cheaper/#webpage", "url": "https://money.com/cities-home-prices-getting-cheaper/", "name": "These Cities Saw Home Prices Soar During the Pandemic — and Now They’re Getting Cheaper", "isPartOf": { "@id": "https://money.com/#website" }, "datePublished": "2023-06-16T20:00:13.000Z", "mainEntity": { "@id": "https://money.com/cities-home-prices-getting-cheaper/" }, "inLanguage": "en-US", "breadcrumb": { "@id": "https://money.com/cities-home-prices-getting-cheaper/#breadcrumb" }, "dateModified": "2024-01-10T14:56:10.000Z" }, { "@type": "NewsArticle", "headline": "These Cities Saw Home Prices Soar During the Pandemic — and Now They’re Getting Cheaper", "articleSection": "Housing", "image": [ { "@type": "ImageObject", "url": "https://img.money.com/2023/06/News-Cities-Home-Prices-Drop.jpg", "width": 1492, "height": 991, "caption": "News-Cities-Home-Prices-Drop" } ], "author": [ { "@type": "Person", "name": "Mary Ellen Cagnassola", "url": "https://money.com/author/mary-ellen-cagnassola/", "@id": "https://money.com/author/mary-ellen-cagnassola/#author", "description": "Mary Ellen (M.E.) 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