The Fed’s September interest rate cut is having its intended effect on the housing market. Mortgage interest rates declined to 6.2% in mid-September and, from August to last month, the median U.S. home price dropped nearly $5,000.
California has a long way to go. Prices are still climbing in the Golden State, albeit at a slower pace. But there are at least three notable exceptions: San Francisco, Riverside, and San Jose. Those three cities are currently experiencing a drop in housing prices, according to Realtor.com.
San Francisco has seen a 1.2% increase in home price reductions — the 8th largest among the 10 largest U.S. metros. The median list price of a home in San Francisco is down to $997,500.
Riverside experienced a 0.6% increase in home price reductions. The median list price in Riverside is now $599,000.
In San Jose, home price declines have edged up 0.4%. The median home in San Jose is now listed at $1,432,170.
Read more about falling home prices and the latest housing trends here.