TRULIA’S HOME OFFER REPORT REVEALS WHERE HOMEBUYERS CAN FIND DEEP DISCOUNTS THIS SPRING

Sellers in major U.S. cities quick to make first price reduction and more likely to make multiple cuts

SAN FRANCISCO, April 14, 2011 – Trulia, a top resource for homebuyers, sellers and renters, today launched the Home Offer Report to give buyers and sellers the upper hand – whether they are making an offer or putting their home on the market. This new quarterly report and interactive map empowers buyers to make strategic offers and help sellers price their homes to sell by providing local insights on when the first price reductions occurs in a neighborhood, where the reductions are happening and how deep the reductions are.

KEY FINDINGS

During the past year, U.S. home sellers slashed more than $24 billion in potential wealth from home listings on Trulia.com. On average, most sellers will reduce their list price after 79 days on the market, choosing to cut their original list price by 8 percent. Following a first reduction, 35 percent of these sellers will make a second.
By comparison, sellers in America’s 50 largest cities wait 62 days before making their first price reduction, discounting their listings by an average of 7 percent. Of the sellers who make one reduction, 42 percent will reduce their listing price again. Here are the full rankings among these metros:

o High probability of multiple price reductions plagues Phoenix, Mesa and Jacksonville.

#	City	State	Probability of Second Reduction After Making First Cut
1	Phoenix	AZ	56%
2	Mesa	AZ	54%
3	Jacksonville	FL	52%
4	Baltimore	MD	49%
5	Chicago	IL	48%

o Home sellers in El Paso, Tulsa and Omaha are least likely to make multiple price reductions.

#	City	State	Probability of Second Reduction After Making First Cut
1	El Paso	TX	28%
2	Tulsa	OK	28%
3	Omaha	NE	30%
4	Honolulu	HI	33%
5	San Francisco	CA	35%

o Detroit home sellers offer deepest real estate discounts.

#	City	State	Average Percentage Discount During First Reduction
1	Detroit	MI	19%
2	Miami	FL	11%
3	Columbus	OH	11%
4	Baltimore	MD	10%
5	Atlanta	GA	9%

o Boston tops list of stingy sellers with smallest discounts on market.

#	City	State	Average Percentage Discount During First Reduction
1	Boston	MA	5%
2	Austin	TX	5%
3	Raleigh	NC	5%
4	Colorado Springs	CO	5%
5	El Paso	TX	5%

o New York City is home to the nation’s most stubborn home sellers who often wait 80 days on market before making their first price cut.

#	City	State	Average Day on Market Before First Reduction
1	New York	NY	80
2	El Paso	TX	79
3	Charlotte	NC	75
4	Cleveland	OH	74
5	Raleigh	NC	71
6	Louisville	KY	71
7	Kansas City	MO	71
8	Memphis	TN	70
9	Miami	FL	69
10	Fort Worth	TX	69

o Minneapolis home sellers are quickest to slash their list price.

#	City	State	Average Day on Market Before First Reduction
1	Minneapolis	MN	45
2	Oakland	CA	48
3	Phoenix	AZ	48
4	Sacramento	CA	49
5	San Diego	CA	50
6	Omaha	NE	52
7	San Jose	CA	53
8	Seattle	WA	54
9	Las Vegas	CA	54
10	Mesa	AZ	55

PRE-APPROVED QUOTES

· FROM TARA-NICHOLLE NELSON, CONSUMER EDUCATOR FOR TRULIA

o “During the first quarter of 2011, home prices and sales were both down, but pending sales and house hunting traffic on Trulia were up, indicating that buyers are preparing themselves to take advantage of a strong buyer’s market,” said Tara-Nicholle Nelson, Consumer Educator for Trulia. “Trulia’s new Home Offer Report gives buyers the upper hand to make strategic, aggressive offers when a home is due for a price reduction, increasing the likelihood the seller will accept it while minimizing the competition from other buyers who might be attracted to the property by a price cut.”

o “Sellers who don't cut their homes' list prices deeply enough the first time face a long lag-time on the market and a high chance of needing to make a second cut, which can result in lowball offers from buyers,” said Tara-Nicholle Nelson, Consumer Educator for Trulia. “We also see a pattern of sellers making early, deep and multiple discounts in foreclosure hot spots such as Michigan, Florida, Maryland and California – a bad omen for the future of home values in these already depressed areas.”

MULTIMEDIA

To view an interactive U.S. map highlighting the Home Offer Report findings at a local level for your neighborhood, click here.
To view a slideshow of the findings, click here.
To view Trulia’s Home Offer Report findings for the 50 largest U.S. cities, click here.
To check out Trulia’s current and archived industry reports and consumer surveys, click here.

METHODOLOGY

Trulia’s Home Offer Report is based on price change data from live non-foreclosure listings on Trulia.com as of March 31, 2011 and tracks all price reductions from March 31, 2010 to March 31, 2011. Listings include residential properties including single-family homes, townhouses, condos and apartments among others. Trulia obtains its listing information from brokers, agents, third party aggregators and Multiple Listing Services. Click here for the full methodology.

ABOUT TRULIA, INC.

Trulia is the fastest growing online real estate resource, empowering buyers, seller and renters with smarter tools to help them find the right home. Trulia helps you find the home that best meets your specific needs. Our smart and personalized real estate search experience brings together local information, community insights, market data and national listings all in one place. Trulia is headquartered in downtown San Francisco and is backed by Accel Partners and Sequoia Capital.

MEDIA CONTACTS:

Chip Scarinzi for Trulia, chip.scarinzi@edelman.com, 415.486.3221

Daisy Kong, dkong@trulia.com, 415.400.7391

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