--- title: More Home Sellers Are Dropping Their Asking Prices — but Don’t Celebrate Yet description: More home sellers are lowering list prices to attract buyers in today's red hot housing market. But there are still few homes for sale. authors: - name: Sarah Hansen role: Senior Writer url: https://money.com/author/sarah-hansen/ bio: Sarah Hansen is a senior writer at Money covering all things personal finance. Previously, she covered economic policy and capital markets on the breaking news desk at Forbes. education: Northwestern University, New York University at_money_since: 2021 articles: 347 covers: - Housing - Banking - Business - Career Advice - Credit - Credit Cards - Economy and Politics - Education - Health and Wellness - Insurance - Investing - Lifestyle - Loans - Mortgages - Personal Finance - Professional Services - Retirement - Shopping - Taxes social: - https://www.linkedin.com/in/sarah-m-hansen/ 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: '2022-05-09T17:42:09.000Z' modified: '2024-01-10T15:25:21.000Z' section: Housing tags: - home prices - News word_count: 430 canonical: https://money.com/more-home-sellers-dropping-asking-prices/ 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/). ![For Sale Sign With Dollar Sign Falling Off](https://img.money.com/2022/05/News-Home-Sellers-Dropping-Prices.jpg) More and more home sellers are dropping their asking prices this spring. But hopeful homebuyers looking for relief in the red-hot housing market shouldn’t celebrate just yet. The four-week period ending on May 1 saw 15% of home sellers drop their asking prices, according to a recent [report](https://www.redfin.com/news/housing-market-update-record-spke-in-price-drops/) from the real estate brokerage Redfin. That's a major uptick from the same period last year, when 9% of home sellers dropped their list prices. For many buyers [sitting on the sidelines](https://money.com/tips-waiting-to-buy-house-hot-market/) waiting for prices to fall, this might seem like great news. Homes have been selling at [record speeds](https://money.com/home-sales-fastest-pace-january/), and [bidding wars](https://money.com/cities-with-most-bidding-wars-homes/) that push home prices well above asking are more common than ever. So an increase in sellers dropping their prices would be a boon for buyers — if it weren’t for the fact that many sellers are backing out of the market, too. “Unfortunately for buyers hoping to find a deal as competition cools, sellers are pulling back even faster, which is keeping the market deep in seller’s territory,” Redfin Chief Economist Daryl Fairweather said in the report. “So even though price drops are becoming more common, most homes are still selling above asking price and in record time.” According to Redfin’s data, the median sale price of a home is up 17% year-over-year. And in the four-week period ending May 1, 42% of homes under contract had an offer accepted within one week of listing. ## Most Americans say it’s a bad time to buy a home Soaring prices and sky-high [mortgage rates](https://money.com/current-mortgage-rates/) are weighing heavily on Americans’ attitudes towards the housing market. A recent Gallup poll found that nearly 70% of people believe it’s a [bad time to buy a house](https://money.com/bad-time-to-buy-house-poll/), and the same portion believes that prices will continue to rise over the next year. That’s likely thanks in part to an ongoing [shortage](https://money.com/rising-mortgage-rates-housing-shortage/) of housing inventory. There were 18% fewer homes for sale during the four-week period ending May 1 than during the same time last year, according to Redfin. "Given the extremely low inventory, we're unlikely to see price declines” in the coming months, said Lawrence Yun, the National Association of Realtors’ chief economist, in a [statement](https://www.nar.realtor/newsroom/first-quarter-of-2022-brings-double-digit-price-appreciation-for-70-of-metros) last week. Yun still expects home prices to rise, but he predicts that they’ll rise at a slower pace than they have over the past year or two. ```json { "@context": "https://schema.org", "@graph": [ { "@type": "BreadcrumbList", "@id": "https://money.com/more-home-sellers-dropping-asking-prices/#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 Buying", "item": "https://money.com/home-buying/" }, { "@type": "ListItem", "position": 4, "name": "More Home Sellers Are Dropping Their Asking Prices — but Don’t Celebrate Yet" } ] }, { "@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/more-home-sellers-dropping-asking-prices/#webpage", "url": "https://money.com/more-home-sellers-dropping-asking-prices/", "name": "More Home Sellers Are Dropping Their Asking Prices — but Don’t Celebrate Yet", "isPartOf": { "@id": "https://money.com/#website" }, "datePublished": "2022-05-09T17:42:09.000Z", "mainEntity": { "@id": "https://money.com/more-home-sellers-dropping-asking-prices/" }, "inLanguage": "en-US", "breadcrumb": { "@id": "https://money.com/more-home-sellers-dropping-asking-prices/#breadcrumb" }, "dateModified": "2024-01-10T15:25:21.000Z" }, { "@type": "NewsArticle", "headline": "More Home Sellers Are Dropping Their Asking Prices — but Don’t Celebrate Yet", "articleSection": "Housing", "image": [ { "@type": "ImageObject", "url": "https://img.money.com/2022/05/News-Home-Sellers-Dropping-Prices.jpg", "width": 2880, "height": 1920, "caption": "News-Home-Sellers-Dropping-Prices" } ], "author": [ { "@type": "Person", "name": "Sarah Hansen", "url": "https://money.com/author/sarah-hansen/", "@id": "https://money.com/author/sarah-hansen/#author", "description": "Sarah Hansen is a senior writer at Money covering all things personal finance. 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