The worst housing markets in the US are experiencing a significant slowdown, leaving potential homeowners and investors wondering where to turn. Navigating these tricky markets requires careful consideration of several factors, and we're here to break it all down for you.
From plummeting home values to sluggish sales, we'll examine the 50 metro areas currently facing the biggest challenges. My aim, as someone who has followed housing markets for years, is to provide clear, actionable insights, so you can make informed decisions, whether you're buying, selling, or simply curious about the current real estate climate.
Why are these Housing Markets Struggling?
Several factors contribute to a weak housing market. High interest rates make borrowing expensive, cooling down buyer demand. Economic uncertainty can also lead people to hold off on big purchases like homes. And of course, an oversupply of houses compared to buyers pushes prices down.
What makes a Housing Market “Bad”?
A “bad” housing market is usually one where home values are dropping, houses sit on the market for a long time, and sellers often have to lower their asking prices. This combination can create a challenging environment for both buyers and sellers.
The 50 Worst Housing Markets in the US: A Detailed Breakdown
Based on data from GOBankingRates, here are the 50 worst housing markets in the US, ranked from slightly troubling (number 50) to the most challenging (number 1). This information isn't just numbers on a page; these are real communities facing real challenges. I've seen firsthand how these market fluctuations can impact families and investors, and I believe understanding the nuances is key to making sound decisions.
Texas and Florida: States Facing Challenges
It's worth noting that several Texas and Florida cities are on this list. These states saw rapid growth in recent years, which might have contributed to the current slowdown. Sometimes, what goes up quickly can also come down quickly.
The Data: What It Means for You
The following list provides a detailed overview of each market. Pay attention to the two-year home value change. This gives you a sense of the overall trend. The mean price cut shows how much sellers are reducing their asking prices, a clear indicator of a struggling market. The mean days to close tells you how long it takes for a sale to complete, reflecting buyer hesitancy. Finally, the share of listings with price cuts gives you an idea of how widespread the problem is.
50. Salinas, California
- June 2024 Home Value: $844,402
- One-Year Change: +6.04%
- Two-Year Change: +1.59%
- Mean Price Cut: $80,737
- Price Cut Share: 20.39%
- Days to Close: 29
Salinas shows some growth, but the significant average price cut suggests sellers are struggling to meet buyer expectations.
49. Orlando, Florida
- June 2024 Home Value: $399,253
- One-Year Change: +3.22%
- Two-Year Change: +5.26%
- Mean Price Cut: $14,907
- Price Cut Share: 29.30%
- Days to Close: 34
Orlando's growth is slowing, and the high percentage of price cuts points to a cooling market.
48. Baton Rouge, Louisiana
- June 2024 Home Value: $240,017
- One-Year Change: +1.66%
- Two-Year Change: +3.60%
- Mean Price Cut: $11,512
- Price Cut Share: 26.01%
- Days to Close: 34
Baton Rouge's growth is modest, indicating a relatively slow market.
47. Eugene, Oregon
- June 2024 Home Value: $455,582
- One-Year Change: +1.32%
- Two-Year Change: -0.71%
- Mean Price Cut: $20,297
- Price Cut Share: 24.29%
- Days to Close: 30
Eugene shows signs of stagnation, with negative two-year growth.
46. Shreveport, Louisiana
- June 2024 Home Value: $174,384
- One-Year Change: +4.06%
- Two-Year Change: +0.15%
- Mean Price Cut: $11,597
- Price Cut Share: 26.00%
- Days to Close: 34
Shreveport’s growth is minimal, barely registering any change over two years.
45. Reno, Nevada
- June 2024 Home Value: $548,869
- One-Year Change: +4.64%
- Two-Year Change: -5.47%
- Mean Price Cut: $26,683
- Price Cut Share: 23.18%
- Days to Close: 32
Reno experienced a significant decline in value over two years, despite recent growth.
44. Salisbury, Maryland
- June 2024 Home Value: $423,739
- One-Year Change: +2.27%
- Two-Year Change: +3.37%
- Mean Price Cut: $21,070
- Price Cut Share: 26.53%
- Days to Close: 37
Salisbury shows modest growth but a noticeable proportion of price reductions.
43. Jackson, Mississippi
- June 2024 Home Value: $197,464
- One-Year Change: +0.78%
- Two-Year Change: +3.11%
- Mean Price Cut: $11,977
- Price Cut Share: 25.04%
- Days to Close: 36
Jackson's growth is minimal, showing slow market conditions.
42. Longview, Texas
- June 2024 Home Value: $218,205
- One-Year Change: +0.30%
- Two-Year Change: +5.59%
- Mean Price Cut: $12,216
- Price Cut Share: 24.49%
- Days to Close: 26
Longview saw some two-year growth but almost no change in the last year.
41. Greeley, Colorado
- June 2024 Home Value: $500,073
- One-Year Change: +0.72%
- Two-Year Change: -4.39%
- Mean Price Cut: $16,690
- Price Cut Share: 22.94%
- Days to Close: 31
Greeley experienced a significant drop in home values over the past two years.
40. San Francisco, California
- June 2024 Home Value: $1,180,321
- One-Year Change: +5.04%
- Two-Year Change: -7.27%
- Mean Price Cut: $69,905
- Price Cut Share: 17.62%
- Days to Close: 23
Despite recent growth, San Francisco saw a considerable decrease in value over two years. This highlights the volatility even in expensive markets.
39. Laredo, Texas
- June 2024 Home Value: $206,726
- One-Year Change: -3.38%
- Two-Year Change: +0.60%
- Mean Price Cut: $10,330
- Price Cut Share: 16.13%
- Days to Close: 28
Laredo shows a negative one-year change, suggesting a decline in the market.
38. Ogden, Utah
- June 2024 Home Value: $498,019
- One-Year Change: +2.64%
- Two-Year Change: -4.36%
- Mean Price Cut: $13,821
- Price Cut Share: 29.09%
- Days to Close: 28
Ogden’s two-year performance is quite poor, despite recent growth.
37. Huntsville, Alabama
- June 2024 Home Value: $309,499
- One-Year Change: +0.48%
- Two-Year Change: +0.48%
- Mean Price Cut: $10,268
- Price Cut Share: 28.15%
- Days to Close: 32
Huntsville’s near-stagnant growth indicates a lack of momentum in the market.
36. Myrtle Beach, South Carolina
- June 2024 Home Value: $338,481
- One-Year Change: +1.80%
- Two-Year Change: +4.35%
- Mean Price Cut: $11,694
- Price Cut Share: 28.19%
- Days to Close: 37
Myrtle Beach shows modest growth but a significant share of listings with price cuts.
35. Spokane, Washington
- June 2024 Home Value: $417,086
- One-Year Change: +1.49%
- Two-Year Change: -3.83%
- Mean Price Cut: $17,579
- Price Cut Share: 27.12%
- Days to Close: 29
Spokane’s two-year decline is a cause for concern, outweighing the recent marginal growth.
34. Portland, Oregon
- June 2024 Home Value: $554,847
- One-Year Change: +1.64%
- Two-Year Change: -4.08%
- Mean Price Cut: $23,109
- Price Cut Share: 24.86%
- Days to Close: 29
Similar to other Oregon cities, Portland shows modest recent growth, but significant two-year decline.
33. Pensacola, Florida
- June 2024 Home Value: $309,736
- One-Year Change: +1.79%
- Two-Year Change: +3.64%
- Mean Price Cut: $12,737
- Price Cut Share: 31.34%
- Days to Close: 34
Pensacola’s growth is moderate, but the high percentage of price cuts suggests a softening market.
32. Salt Lake City, Utah
- June 2024 Home Value: $548,835
- One-Year Change: +2.57%
- Two-Year Change: -4.94%
- Mean Price Cut: $18,638
- Price Cut Share: 30.24%
- Days to Close: 27
Salt Lake City, once a booming market, has experienced a notable slowdown.
31. Lubbock, Texas
- June 2024 Home Value: $209,214
- One-Year Change: -0.14%
- Two-Year Change: +1.74%
- Mean Price Cut: $9,877
- Price Cut Share: 28.95%
- Days to Close: 33
Lubbock's growth is almost negligible, representing a stagnant market.
30. Corpus Christi, Texas
- June 2024 Home Value: $224,512
- One-Year Change: +0.33%
- Two-Year Change: +0.05%
- Mean Price Cut: $17,191
- Price Cut Share: 22.97%
- Days to Close: 30
Corpus Christi reflects minimal growth, showcasing a market lacking significant momentum.
29. Waco, Texas
- June 2024 Home Value: $261,013
- One-Year Change: +0.81%
- Two-Year Change: +1.74%
- Mean Price Cut: $13,464
- Price Cut Share: 28.90%
- Days to Close: 31
Waco's growth is minimal, indicating a slow and steady, yet unremarkable market.
28. Lakeland, Florida
- June 2024 Home Value: $315,149
- One-Year Change: +1.44%
- Two-Year Change: +1.47%
- Mean Price Cut: $10,537
- Price Cut Share: 30.18%
- Days to Close: 34
Lakeland demonstrates slow and steady growth, but the high percentage of price cuts is worth noting.
27. Killeen, Texas
- June 2024 Home Value: $258,289
- One-Year Change: -1.03%
- Two-Year Change: -0.94%
- Mean Price Cut: $12,284
- Price Cut Share: 23.30%
- Days to Close: 32
Killeen is experiencing a slight decline in home values, reflecting a weakening market.
26. Port St. Lucie, Florida
- June 2024 Home Value: $401,971
- One-Year Change: +2.50%
- Two-Year Change: +2.90%
- Mean Price Cut: $19,065
- Price Cut Share: 29.63%
- Days to Close: 34
Port St. Lucie shows modest growth, but a relatively high percentage of price cuts.
25. Houston, Texas
- June 2024 Home Value: $312,052
- One-Year Change: +1.41%
- Two-Year Change: +0.69%
- Mean Price Cut: $15,072
- Price Cut Share: 28.83%
- Days to Close: 29
Houston's growth is minimal, suggesting a lack of strong market momentum.
24. Nashville, Tennessee
- June 2024 Home Value: $447,170
- One-Year Change: +1.99%
- Two-Year Change: -0.38%
- Mean Price Cut: $21,392
- Price Cut Share: 32.19%
- Days to Close: 32
Nashville shows a slight decline over two years despite recent growth.
23. Colorado Springs, Colorado
- June 2024 Home Value: $464,036
- One-Year Change: +1.45%
- Two-Year Change: -4.61%
- Mean Price Cut: $13,065
- Price Cut Share: 31.61%
- Days to Close: 32
Colorado Springs shows a considerable two-year decline, contrasting with recent minimal growth.
22. Denver, Colorado
- June 2024 Home Value: $592,720
- One-Year Change: +2.01%
- Two-Year Change: -4.44%
- Mean Price Cut: $19,067
- Price Cut Share: 32.13%
- Days to Close: 28
Denver’s two-year decline is noteworthy, highlighting a significant market correction.
21. Honolulu (Urban), Hawaii
- June 2024 Home Value: $867,057
- One-Year Change: +0.74%
- Two-Year Change: -3.33%
- Mean Price Cut: $34,693
- Price Cut Share: 18.30%
- Days to Close: 39
Even in the high-value Honolulu market, we see a recent decline.
20. Ocala, Florida
- June 2024 Home Value: $279,895
- One-Year Change: +0.44%
- Two-Year Change: +2.64%
- Mean Price Cut: $12,281
- Price Cut Share: 29.39%
- Days to Close: 34
Ocala shows minimal growth, with the market showing signs of stagnation.
19. Provo, Utah
- June 2024 Home Value: $533,482
- One-Year Change: +2.00%
- Two-Year Change: -7.00%
- Mean Price Cut: $16,036
- Price Cut Share: 30.10%
- Days to Close: 28
Provo’s significant two-year decline is a stark contrast to its recent slight growth.
18. Palm Bay, Florida
- June 2024 Home Value: $357,251
- One-Year Change: +1.39%
- Two-Year Change: +1.85%
- Mean Price Cut: $13,739
- Price Cut Share: 33.03%
- Days to Close: 32
Palm Bay's growth is minimal and the high percentage of price cuts is concerning.
17. Beaumont, Texas
- June 2024 Home Value: $168,201
- One-Year Change: -1.31%
- Two-Year Change: -3.74%
- Mean Price Cut: $11,861
- Price Cut Share: 23.60%
- Days to Close: 29
Beaumont experienced a decline in home values over both one and two-year periods.
16. Boise City, Idaho
- June 2024 Home Value: $482,228
- One-Year Change: +3.98%
- Two-Year Change: -9.52%
- Mean Price Cut: $18,615
- Price Cut Share: 30.98%
- Days to Close: 29
Boise City experienced substantial two-year decline, despite a recent increase.
15. Jacksonville, Florida
- June 2024 Home Value: $361,530
- One-Year Change: +1.28%
- Two-Year Change: +0.49%
- Mean Price Cut: $13,749
- Price Cut Share: 31.75%
- Days to Close: 30
Jacksonville's growth is minimal and is accompanied by a high percentage of price cuts.
14. Lafayette, Louisiana
- June 2024 Home Value: $193,479
- One-Year Change: -2.12%
- Two-Year Change: -2.91%
- Mean Price Cut: $9,305
- Price Cut Share: 26.27%
- Days to Close: 31
Lafayette is experiencing a decline in home values, reflecting a softening market.
13. Deltona, Florida
- June 2024 Home Value: $346,653
- One-Year Change: +0.97%
- Two-Year Change: +1.00%
- Mean Price Cut: $14,388
- Price Cut Share: 29.88%
- Days to Close: 33
Deltona shows minimal growth, accompanied by a notable share of price cuts.
12. Dallas, Texas
- June 2024 Home Value: $381,600
- One-Year Change: +1.10%
- Two-Year Change: -1.24%
- Mean Price Cut: $15,721
- Price Cut Share: 32.03%
- Days to Close: 28
Dallas, a major Texas city, shows a recent decline over two years.
11. Boulder, Colorado
- June 2024 Home Value: $747,586
- One-Year Change: +1.15%
- Two-Year Change: -5.66%
- Mean Price Cut: $40,990
- Price Cut Share: 24.05%
- Days to Close: 27
Boulder, despite its high home values, experienced a considerable drop in value over the last two years.
10. Tampa, Florida
- June 2024 Home Value: $381,941
- One-Year Change: +2.71%
- Two-Year Change: +2.35%
- Mean Price Cut: $16,110
- Price Cut Share: 35.26%
- Days to Close: 34
Tampa’s growth is relatively weak, and a very high percentage of listings are seeing price cuts.
9. Phoenix, Arizona
- June 2024 Home Value: $460,513
- One-Year Change: +4.01%
- Two-Year Change: -5.56%
- Mean Price Cut: $16,577
- Price Cut Share: 34.33%
- Days to Close: 31
Phoenix shows a considerable two-year decline despite recent growth.
8. Santa Cruz, California
- June 2024 Home Value: $1,181,192
- One-Year Change: +3.90%
- Two-Year Change: -5.67%
- Mean Price Cut: $89,350
- Price Cut Share: 20.08%
- Days to Close: 26
Despite recent growth, Santa Cruz has seen a substantial decrease in value over two years.
7. Naples, Florida
- June 2024 Home Value: $604,606
- One-Year Change: +1.15%
- Two-Year Change: +1.94%
- Mean Price Cut: $46,104
- Price Cut Share: 25.37%
- Days to Close: 38
Naples shows modest growth but a substantial mean price cut.
6. Crestview, Florida
- June 2024 Home Value: $445,687
- One-Year Change: -0.69%
- Two-Year Change: -0.96%
- Mean Price Cut: $30,520
- Price Cut Share: 27.97%
- Days to Close: 33
Crestview shows a decline in home values, clearly a weak market.
5. Cape Coral, Florida
- June 2024 Home Value: $390,185
- One-Year Change: -2.25%
- Two-Year Change: -1.93%
- Mean Price Cut: $19,759
- Price Cut Share: 23.72%
- Days to Close: 33
Cape Coral is clearly in decline, with negative growth over both one and two years.
4. San Antonio, Texas
- June 2024 Home Value: $290,483
- One-Year Change: -2.23%
- Two-Year Change: -3.84%
- Mean Price Cut: $12,408
- Price Cut Share: 31.37%
- Days to Close: 30
San Antonio shows a clear decline in home values, another example of Texas markets struggling.
3. North Port, Florida
- June 2024 Home Value: $450,116
- One-Year Change: -1.64%
- Two-Year Change: -2.16%
- Mean Price Cut: $24,603
- Price Cut Share: 33.20%
- Days to Close: 37
North Port shows a clear downward trend in home values.
2. New Orleans, Louisiana
- June 2024 Home Value: $243,729
- One-Year Change: -6.44%
- Two-Year Change: -11.77%
- Mean Price Cut: $15,512
- Price Cut Share: 26.76%
- Days to Close: 33
New Orleans experienced a significant decline in home values over both one and two years.
1. Austin, Texas
- June 2024 Home Value: $466,103
- One-Year Change: -4.30%
- Two-Year Change: -17.65%
- Mean Price Cut: $25,088
- Price Cut Share: 29.54%
- Days to Close: 23
Austin takes the unfortunate title of the worst housing market in the US, with a dramatic drop in home values. This dramatic decline emphasizes how quickly market conditions can shift.
Conclusion: Navigating the Worst Housing Markets in the US
This detailed analysis provides a crucial overview of the 50 worst housing markets in the US. Remember, these rankings are based on specific data points and represent a snapshot in time. Always conduct thorough local market research, considering local economic conditions, employment rates, and other factors, before making any significant real estate decisions. The information here is intended to guide your research, not dictate it. Stay informed, stay diligent, and good luck with your home search!
