Biggest Discounts December Update

Let’s have an update on where buyers are currently getting the biggest discount off the asking price. This data should help potential buyers to know which neighborhoods are softer in terms of sale price discounts off list price, better equipping you when making an offer and helping you know where to look for potential bargains.

In the charts below, we have taken all sales data from the last two and a half months in Redfin’s San Diego coverage area and sorted it by zip code. We calculated the overall difference between the sale price and the list price. Note that this reflects the final list price, after all price drops in the listing. Any zips with fewer than ten sales are excluded from the top and bottom ten rankings, but interested readers may download the full data summary in Excel format (xls).

FYI, ordinarily we would have posted this last week, but we had a slight snag in acquiring the data.

Here are the top ten zip codes with the largest overall discount:

Coronado (92118) moved from the #2 spot last month to #1 this month, despite the discounts there dropping from 10.8% to 8.1%.

The overall discount for the San Diego area decreased significantly from 4.1% last month to just 1.9% this month, indicating either a decrease in the willingness of sellers to bargain with buyers, or an increase in the skill of sellers to set appropriate prices to begin with.

Here are the ten zip codes with the smallest discounts:

Of the 6,229 sales we tracked in the 3-month period, just 96 homes sold for more than 20% off the asking price, while 2,461 homes sold for more than asking.

As a whole, the trend in San Diego is currently moving toward smaller discounts for most neighborhoods. As we continue to watch this data we will be able to get a better picture of what sale-to-list discounts tell us about the overall health of the local real estate market.