I
n some US cities, home prices have dropped, making them more affordable for potential buyers. According to Realtor.com's August housing report, released recently, homeownership has become slightly more accessible in Miami, San Diego, and Kansas City. These cities saw the largest year-over-year decrease in housing prices last month. Miami had the most significant drop, with a decrease of 11.7% in median listing prices, bringing them down to $530,000. San Diego followed closely behind with a 9.1% reduction, resulting in a median listing price of $999,000. Kansas City had an 8.5% decrease, bringing its median listing price down to $398,050.

    The nationwide median price of homes for sale decreased by 1.3% in August, reaching $429,990. San Diego saw the second-highest inventory growth and price drop in the country last month, while Kansas City had a median active listing home price of $398,050 in August.

    The price reductions are coinciding with significant inventory growth and a market slowdown. August was the slowest month in five years, with homes spending an average of 53 days on the market. Miami's skyline is one of the most iconic in the country, and San Diego saw the second most inventory growth in the country (+80.4%), with only Tampa reporting more (+90.1%). Miami took fourth place in terms of new housing development, with a 72.2% rise in its year-over-year active listing count. Kansas City, despite its substantial median price drop, did not rank in the top 10 for its inventory growth.

    For potential homebuyers, this news is positive as the market slows down seasonally. According to Realtor.com's chief economist, Danielle Hale, fall is one of the best times to buy a house. Shoppers who are out this fall are likely to face lower competition than is expected in spring 2025 as more shoppers anticipate better mortgage rates.