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Trulia: Home-price discounts hit new low

Report cites tax credit, low inventory as factors

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Home-price reduction levels have reached a new low, real estate search site Trulia announced Tuesday. Of the site's single-family and condominium listings, 21 percent that went on the market on or after Jan. 1 have experienced at least one price cut, the lowest share since the site started the survey in April 2009. The previous low was in December, at 22 percent. This month's survey marks the second month of declines in price-reduction levels. The data do not include foreclosures. "Historically low interest rates currently available and tax credit incentives are the ultimate price reductions for homebuyers. As rates rise throughout the course of the year, buyers will need to adjust their purchase-price ceiling," said Pete Flint, Trulia co-founder and CEO, in a statement. The total amount slashed from homes fell 14 percent, to $21.2 billion, compared with $24.7 billion in December. Houses in the luxury market -- defined as those priced at $2 million and up -- were hit th...