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The average homebuyer who purchased a home below the asking price last year received a 7.9% discount, the largest since 2012, Redfin found by comparing original list prices with final sale prices. That's a $31,592 discount on a $399,900 home, the median list price in 2025.
Among all homebuyers, the average discount was 3.8%, or $15,196. More than 60% of buyers paid less than the asking price, the highest share since 2019, while 22.8% paid more than the list price. About 15% paid the exact asking price, which has remained steady over the years, according to Redfin.
"Homebuyers in 2026 shouldn't write off homes that are slightly above their budget because there's a good chance they'll get some sort of concession from the seller, be it a price cut, money toward closing costs or funds for repairs," Redfin Senior Economist Asad Khan said in a press release Monday.
"This marks a reversal from the pandemic homebuying frenzy, when house hunters were advised to search for homes below their budget because fierce bidding wars were causing properties to sell far above the asking price," he added.
Homebuyers have been more likely to get discounts than in recent years because there were a record 47.1%, or 631,535, more home sellers than buyers in the market last month, according to Redfin data dating back to 2013. This has given buyers the
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Discounts have also become increasingly common partly because homes are more difficult to price, with market dynamics shifting rapidly and varying widely from place to place, Khan said. Housing demand remains strong in some areas, but quickly softening in others, according to the release.
"Some sellers are recognizing the market has changed and others are not," said Connie Durnal, a Redfin Premier real estate agent in Dallas, in the release. "I have one seller who overpaid for their home a few years ago and wants to list it at $950,000. The problem is recent comps call for a list price of $825,000."
Many sellers are overpricing their homes to clear a certain price threshold, according to Ben Ambroch, a Redfin Premier real estate agent in Milwaukee.
"A lot of sellers scored 2-3% mortgage rates during the pandemic, and are only willing to sell and give up that rate if they can make enough money to cover the monthly payment on their next home," he said.
Where are discounts the largest?
Among the 50 most populous metropolitan areas in the United States, West Palm Beach, Florida, saw the biggest discount last year at 10.9%, followed by Detroit (10.3%), Fort Lauderdale, Florida (10.3%), Pittsburgh (9.9%) and Miami (9.8%).
Florida buyers have more leverage than most because the state builds more homes than any other besides Texas. Florida has also dealt with natural disasters and soaring insurance premiums and HOA fees, making homes less attractive.
In Seattle, the typical homebuyer who paid less than the asking price got a 5.7% discount, the smallest of the major metros. Washington, D.C. (5.8%), Minneapolis (5.8%), Las Vegas (5.8%) and Virginia Beach, Virginia (5.9%), rounded out the bottom five.
In San Francisco, the average homebuyer paid 3.8% above the asking price, the largest premium in the country. The only other metros where the typical homebuyer paid more than the asking price last year were Newark, New Jersey (3.1%), San Jose, California (2.3%), and Oakland, California (1.3%).
The San Francisco housing market has heated up recently, driven by a growing AI sector and a return to the office. Bay Area homes also usually sell for a premium, as sellers purposely underprice their homes to create bidding wars, the release said.
Condo buyers received the biggest discount
The average condo buyer who paid below the list price got an 8.1% discount last year, above the 7.9% for single-family-home buyers and 6.5% for townhouse buyers.
Last year was the first since 2014 that condos sold at a bigger discount than single-family homes, largely because the condo demand has dropped with rising HOA fees and insurance costs.
Among all condo buyers, the average discount was 4.8% and 68.1% paid less than the list price in 2025, Redfin found.
