42% of Homes Are Cutting Prices — Here’s Why Pricing Right From the Start Matters
In today’s real estate market, pricing matters more than ever. According to Altos Research, a striking 42% of active listings have taken a price cut from their original asking price—a clear sign that many sellers are having to adjust when overpricing misses the mark. In a market where buyers are increasingly cautious and inventory is rising, pricing your home correctly upfront can mean the difference between a quick sale and a stale listing.
Why So Many Listings Are Taking Price Cuts
Several factors are converging to make price reductions more common:
More inventory is coming online. Housing supply is up significantly year-over-year, giving buyers more options and the patience to wait for price adjustments.
Homes are staying on the market longer. Nationwide, the median days on market (DOM) is about 58 days, up roughly a week from last year.
Buyers are budget-conscious. With mortgage rates still elevated, buyers are tightly focused on the full price—and they’re quick to bypass homes that don’t align with what they can actually afford.
Nashville Market in Focus: What Sellers Need to Know
How long homes are taking to sell
In Nashville, homes linger even longer than the national average. Redfin reports that listings are spending about 62 days on the market—up 10 days from last year—and homes typically sell for a median price of $478,000, a modest 1.1% gain over 12 months. Axios+4nestinginnashville.com+4mmgrea.com+4New York PostRedfin
Industry observers paint a similar picture. Zillow’s Home Value Index shows a Nashville average home value of $443,600, down slightly (1.2%) over the past year, with homes moving to pending status in around 29 days of active listing time. Zillow Axios adds that Nashville's housing values have been notably stable compared to other Southeastern metros—with only a 0.1% year-over-year dip—but homes now sit on the market for about 50 days, nearly 30 days longer than in 2021. lctteam.com+10Axios+10Redfin+10
Inventory and affordability dynamics
A recent Redfin-backed Axios analysis indicates sellers now outnumber buyers nearly two to one in the Nashville area—as of April 2025, there were about 90% more sellers than buyers, compared to a national average of 34%. The result? Roughly two-thirds of Nashville homes are selling below their asking price. Axios
Meanwhile, affordability remains a hurdle: even a median-price Nashville home (around $467,178) requires an annual income near $120,000, well above the city’s median household income of about $91,000. Axios+1
What These Trends Mean for Sellers
Between rising inventory, extended days on market, and affordability pressures, the Nashville market is increasingly buyer-friendly. In such an environment, overpricing is not just risky—it can cost you real money.
Here’s what many sellers are discovering:
Delay brings discounts. Homes that sit without adjustments often end up selling for less than they would have if priced correctly from the start.
Buyer attention is fleeting. The first few weeks of a listing deliver the highest visibility and the best offers—miss that window due to overpricing, and you’re giving up leverage.
MLS and pricing tools don’t capture nuance. Redfin Estimate and Zillow Zestimate may offer ballpark figures, but they can't assess recent neighborhood upgrades, school zones, lot specifics, or local demand shifts.
Better Strategy: Price It Right from Day One—and Call in the Professionals
If you’re set on selling successfully in Nashville’s evolving market, the key is simple: Start with a price that’s attractive today—not one that hopes buyers will stretch tomorrow. That’s where expertise makes the difference.
At The Costigan Group, we combine:
Hyper-local insights—we closely monitor Nashville micro-markets, leveraging MLS data and Altos trends to craft pricing that reflects real-time buyer behavior.
Accurate valuation—we integrate property features, local comps, and current demand to calibrate a listing price that stimulates interest, not hesitation.
Strategic marketing—from staging to negotiation, we make sure your home is presented compellingly and priced smartly.
Final Thoughts: Don’t Let the Market Correct You
With 42% of listings requiring price reductions, there’s no room for delay or guesswork. If you start with the right price, you avoid the pain of a markdown, the stigma of a stale listing, and the risk of leaving money on the table.
Ready to get your home sold—fast and for the best price? Contact The Costigan Group today for a complimentary, professional home valuation and a customized sale strategy that puts you ahead of the curve.
