ZipRealty Price Reduction Index, January 2007

The ZipRealty Price Reduction Index (ZPRI) is an informal indicator of ‘for sale’ home price reduction trends in cities across the country. By looking at the number of homes with price reductions and dividing this figure by the total number of homes available for sale in a given city, we are able to determine the percentage of homes with price reductions for this city. Keep in mind that this is just one indicator of many that can be used in determining the health of a local real estate market. Currently, our index covers 70 cities in 19 regional markets, including: Atlanta, Austin, Baltimore, Boston, Chicago, Dallas, Washington DC, Houston, Las Vegas, Los Angeles, Minneapolis, Miami, Orlando, Phoenix, Sacramento, San Diego, Seattle, Tampa and the San Francisco Bay Area. The current index was taken as of 1/8/2007.

View the full table of cities, along with price reductions: ZipRealty Market Price Reductions Index, January 2007.

Among our survey, the five cities with the highest percentage of price reductions:

City, State	Total Number of Homes Reduced	Total Number of Homes on Market	%Reduced
Hanover, MA	55	107	51.4%
Newton, MA	177	346	51.2%
Simi Valley, CA	516	1,082	47.7%
Laguna Nigel, CA	183	399	45.9%
Citrus Heights, CA	191	428	44.6%

Among our survey, the five cities with the lowest percentage of price reductions:

City, State	Total Number of Homes Reduced	Total Number of Homes on Market	%Reduced
Palo Alto, CA	10	45	22.2%
Hayward, CA	142	656	21.6%
Walnut Creek, CA	41	205	20.0%
Zimmerman, MN	59	316	18.7%
Lamorinda, CA	16	125	12.8%