Today Redfin is launching the new Sweet Digs, Analytical Edition. We’re proud to introduce Tim Ellis as the curator of this new effort. Tim will bring the same independent, data-driven perspective to Sweet Digs that first established him as a pre-eminent real estate blogger, but with pricing data that only a broker—and sometimes only Redfin—can access. He will be joined by other bloggers providing real-time insights on how contracts are being negotiated in neighborhoods around the area.
Sweet Digs is still a work in progress so if you have ideas about the types of posts you’d like to see — or if you’d like to contribute an analytical post of your own — just drop me (glenn at redfin dot com) or Tim (the_tim at thatchmound dot com) a line or leave a comment below. Thanks for all your support, and we look forward to hearing from you!
Regards, Glenn Kelman, CEO Redfin
I’d like to thank Glenn and the good people at Redfin for giving me the opportunity to delve into real estate data and share insights with readers from around the country. To kick things off, let’s take a look at which cities and towns have the most price reductions.
The following charts show the percent of MLS, FSBO or REO listings that were price-reduced at some point before leaving the market (either sold or removed unsold from the market) in the past 90 days. Cities/towns or neighborhoods in which the number of homes taken off the market was too small to provide believable estimates are excluded from ranking.
First up are the top ten cities with the most price-reduced listings:
Of the 38 cities/towns we ranked in San Diego County, only Coronado and Jamul had price-reduced ratios of over sixty percent, and a total of 13 came in with fifty percent or more. Although Coronado’s median sold price is well north of $1 million, sellers there were easily the most likely to reduce their price.
Here are the top ten cities with the least price-reduced listings:
Only three cities in San Diego County had fewer than 40% price-reduced homes leaving the market. The relatively remote mountain town of Borrego Springs took the top spot with 30% price-reduced.
Getting a little more granular, let’s look at the top ten San Diego area neighborhoods for price reductions:
38 of the 111 neighborhoods we ranked in San Diego County had a price-reduced ratio of fifty percent or more. Interestingly, three of the top ten neighborhoods for price reductions are right on the beach. Not sure what to make of that.
Lastly, let’s take a look at which neighborhoods had the least price-reduced listings taken off the market:
Neighborhoods with fewer price reductions tend to be either close to the downtown core or a little bit north of it. None of the top ten neighborhoods for the least price reductions were south or east of downtown. Even the neighborhoods with fewer price reductions saw nearly one third of sellers reducing prices to get homes sold.