Home buyers see record discounts just in time for Black Friday

Article originally posted on AZ Big Media on November 25, 2025

Home buyers this fall are seeing some of the steepest price cuts in years. A new Zillow analysis shows that the typical listing received cumulative discounts totaling $25,000 in October — matching the biggest discounts Zillow has tracked and offering a sliver of an opening for patient buyers waiting for relief from record-high costs.

These deeper discounts reflect a housing market slowly finding balance. Home sellers are recalibrating their expectations on the fly, recognizing that affordability pressures are weighing on today’s buyers — and that they can still turn a profit after a price cut. The typical size of an individual price cut has barely budged in recent years, holding near $10,000. But with listings taking longer to move, sellers are increasingly trimming prices more than once as they adjust to a more buyer-friendly market.

“Most homeowners have seen their home values soar over the past several years, which gives them the flexibility for a price cut or two while still walking away with a profit,” said Zillow Senior Economist Kara Ng. “These discounts are bringing more listings in line with buyers’ budgets, and helping fuel the most active fall housing market in three years. Patient buyers are reaping the rewards as the market continues to rebalance.”

These results underscore how quickly the rebalancing housing market is changing strategies for both buyers and sellers. Home sellers say the most valuable service an agent provides is help pricing their home and understanding the local market, according to the Zillow Consumer Housing Trends Report. From a buyer’s perspective, clear visibility into these price adjustments helps them make informed decisions as conditions continue to shift.

The biggest median discounts from initial list price appear in some of the nation’s most expensive markets: San Jose ($70,900), Los Angeles ($61,000), San Francisco ($59,001), New York ($50,000) and San Diego ($50,000).

But in markets where homes cost less to begin with, smaller cuts can represent a bigger relative discount for home buyers. In Pittsburgh, for example, a typical markdown of $20,000 equals about 9% of the metro’s typical home value — the largest relative discount among major markets. New Orleans homes are also typically discounted by 9% of the metro’s typical home value, with buyers in Austin (8.4%), Houston (8.2%) and San Antonio (7.9%) seeing the next-best deals.

At the other end of the spectrum are metros where sellers haven’t had to budge much on price. Oklahoma City ($15,000), Louisville ($15,000), St. Louis ($15,100), Indianapolis ($16,000) and Detroit ($17,100) recorded the smallest cumulative discounts in October. In all but Oklahoma City, homes are selling faster than the national average and listings tend to be newer, signs of steady demand and sellers who don’t need to discount as deeply to attract a buyer.