Austin’s median list price fell 10.2% from a year earlier to $439,650 in October, and Los Angeles’ fell 9% to $1 million, Realtor.com said in its October housing report. The national median list price fell 2.2% over the same stretch, so both cities dropped four to five times as far as the country.
How much cheaper did each city get?
Realtor.com lists Austin at $439,650 and Los Angeles at exactly $1,000,000. Working backward from the reported declines, Austin’s median a year earlier was about $490,000, and Los Angeles’ was about $1.1 million. That is a drop of roughly $50,000 for Austin and roughly $99,000 for Los Angeles in the asking price of the middle listing.
The two cities start from very different places. Austin’s median sits only about $24,650 above the national $415,000, while Los Angeles’ is more than twice as high and well above the $589,000 median for the West. Not every expensive market is sliding: San Jose’s median list price was $1,388,000, up 0.5% from a year earlier.
Are the two markets cooling the same way?
Not quite. In Austin, active listings rose 1.3% from a year earlier and the median home spent 5 more days on the market, according to Realtor.com’s data. Sellers are cutting there: 26.2% of Austin listings had a price reduction, well above the national 20.5%.
Los Angeles looks different. Active listings rose 9.9%, a much larger jump than Austin’s, but the median time on market was unchanged from a year ago, and only 17.5% of listings had a cut, below the national share. Prices fell more than 9% in both cities, yet Austin’s drop came with slower sales and more cuts, while Los Angeles’ came with more homes for sale and a market that moved at last year’s pace.
For an owner in either city, the number to keep straight is what the median list price measures. It is the middle asking price among homes currently for sale, not an appraisal and not what a seller will receive. A homeowner’s equity depends on what was paid, what is owed and what a buyer offers for that particular house, not on the metro median.
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How do they compare with the rest of the big metros?
Inventory is moving in opposite directions across the 50 metros. Active listings jumped 24.9% in Boston, where the median list price is $765,000, and fell 9.4% in Miami, 7.8% in San Francisco and 10.9% in Jacksonville, Realtor.com says. Austin’s 1.3% rise is small beside Boston’s, and Los Angeles’ 9.9% sits in the middle.
At the other end of the price scale, Pittsburgh’s median list price was $242,750. A buyer’s dollar goes very differently in Pittsburgh, Austin and Los Angeles, which is why Realtor.com reports each metro’s own median rather than leaning on the national $415,000 figure.
Each city also sits inside a region with its own trend. Austin is in the South, where Realtor.com’s median list price was $375,000, active listings were up 3.8% and new listings were down 6.5%. Los Angeles is in the West, with a $589,000 median, active listings up 9.0% and new listings down 10.8%.
What is pulling prices down?
Realtor.com’s economists point to demand. Jake Krimmel, the company’s senior economist, said rising mortgage rates are cutting buyers’ purchasing power, and “that loss of purchasing power is showing up first in demand.” Homes under contract nationally fell 10.5% from a year earlier, and contract signings fell 17%, he said.
The average 30-year mortgage rate in October was 7.33%, which is 110 basis points above a year earlier, Realtor.com says. A buyer who could afford a certain payment a year ago can borrow less now at the same monthly cost, and a seller asking last year’s price has fewer buyers able to meet it.
Why does a lower asking price not mean a lower bill?
A fall in a city’s median asking price does not lower the costs of the house an owner already has. Property taxes, insurance and maintenance are set by the property’s own assessment, rates and condition. For many households the largest lever in a market like Austin’s or Los Angeles’ is not selling at all but deciding how to use the equity in a home they plan to keep.
A home equity loan or line of credit is secured by the house, so the value a lender places on it matters. When prices in a metro fall 9% or 10% in a year, an owner who borrowed or plans to borrow against the house has a reason to compare the options before applying, including reverse mortgages for older owners.
Realtor.com’s report does not say how long the declines in Austin and Los Angeles will last, and its economists describe the national market as cooling on both sides. What it does show is where prices stand: $439,650 in Austin and $1 million in Los Angeles.
Borrowing against a house in Austin or Los Angeles?
When a city’s asking prices fall nearly 10% in a year, the value a lender sets on a house can slip with them, and an owner who picks the wrong kind of borrowing can pay for it for years. The choice between a line of credit and a reverse mortgage is not one to make from a rate sheet alone.
The Cut Your House Costs guide includes home equity options compared, from a HELOC to a reverse mortgage. Its Compared section sets those home equity options side by side, so an owner can weigh them against the number on a lender’s offer.
See the guide that compares home equity options, from a HELOC to a reverse mortgage →
This article was produced with AI assistance and edited for accuracy against the sources linked above.
Warren Cohen is a finance writer based in Phoenix, Arizona, covering personal finance topics including credit, banking, and beginner investing. He earned his degree in business administration from Arizona State University and began his career working in consumer finance, where he gained direct experience with lending and credit systems. He now writes for personal finance websites and fintech platforms, focusing on clear, practical content that helps readers make informed financial decisions.
