In a rare housing market shift, newly built homes saw price reductions more frequently than existing homes in late 2025 for the first time in recent history, according to a new report from Realtor.com.  

Realtor.com’s Quarterly New Construction Insights found that in the fourth quarter of 2025, nearly one in five (19.3%) newly built homes saw price cuts, slightly exceeding the rate of price reductions among existing homes (18.3%).  

The report reveals that this trend is showing up in a wide range of states. Nevada, Indiana, South Carolina, Minnesota, North Carolina, New Jersey and Texas had higher shares of price-reduced new construction listings than the national average.  

Data shows that in the fourth quarter of 2025, the median listing price for a newly built home was $451,128, up just 0.3% from a year earlier. Meanwhile, the median resale home was listed at $394,800, essentially flat year over year. 

However, when breaking prices down by property type, Realtor.com’s analysis found newly built condos and townhomes carried a substantially higher premium (30.7%) over existing attached homes, while newly built single-family homes were priced just 10.7% above existing single-family homes, a gap that continues to narrow. 

In addition, newly built condos and townhomes cost more than newly built single-family homes nationwide, largely in part due to geography and where condos are being built. 

Realtor.com Chief Economist Danielle Hale explained that builders are responding to current affordability pressures and higher inventories by competing more directly on price to keep sales moving, even as overall new-home prices remain relatively stable.