U.S. Home Prices Just Fell for the First Time in 3 Years

For the first time in more than 3 years, the typical U.S. home sold for less than it did a year ago.

Redfin's latest data (4 weeks ending Oct. 25)

• Median sale price: $389,601 (−0.1% YoY)
• Median monthly payment: $2,786 (+10.7% YoY)
• Price cuts: 21.5% of listings had one
• Biggest drops: Seattle −5.1%, San Jose −4.9%, Austin −4.6%

The catch: prices dipped, but payments didn't. With rates near 7.3%, the typical payment is at its second-highest level on record.

• Buyers: you have more room to negotiate than you've had in years.
• Sellers: price it right on day one.
• Agents: this is a negotiation market. Know your local numbers cold.