Over Half of Boise Home Sellers Dropped Their Asking Prices in June

Price drops are becoming increasingly common in popular metros that have seen record growth throughout the pandemic, indicating that the Fed’s inflationary control methods are indeed cooling an overheated market. Nearly two-thirds (61.5%) of homes for sale in Boise, ID experienced price drops in June, followed by 55.1% of listings in Denver and 51.6% in Salt Lake City, Redfin reports. 

Not only did Boise have the highest share of price drops of the 97 metros included in Redfin’s analysis, but it also had the biggest share of listings with price drops from a year earlier, when prices on 25.7% of listings were reduced. More than half of the top 10 metros with price drops are also among the 20-fastest cooling markets in the U.S., according to a recent Redfin report.

“Home sellers are contending with a rapidly changing market, especially in places where they’re used to their neighbor’s homes getting multiple offers and selling for more than asking price,” said Redfin Senior Economist Sheharyar Bokhari. “Higher mortgage rates and a potential recession are causing prospective buyers in popular migration destinations to press the pause button, and they’re also having a big impact on workers in big job centers who rely on their stock portfolio for down payments. In places like Denver, Seattle and Portland, some buyers feel less confident about their finances in the face of a shaky economy and faltering stock market. Sellers are adjusting their expectations in real time as they realize they may not get the price their neighbor got two months ago.”

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