Assuming no appreciation, or depreciation, you need to figure 4% in principle reduction each year. (4%* 5 years + your existing 5%) Keep in mind, refinance appraisals are typically tougher to "hit your number" because they go in with no preconceived purchase price to comp to.

If you get a ton of showings and no offers, you're close to the right price point, a slight reduction will usually do the trick. 

I was able to get the rehab costs as a reduction to the purchase price.

Negotiated a 4% price reduction due to condition of property.

So, if interest rates are a buyer’s primary reason for staying on the sideline, my recommendation is to focus on opportunities to negotiate a reduced interest rate from a seller or take a look at new construction, where builders are offering rate reductions and other substantial incentives.What if I’m a seller?

Is it far enough along that you can live in it and ask for a reduction on the price to take it as is?

(water in toilets, tanks, and bowels from leaking sinks) I am using this as a point of negotiation with the seller to get a significant reduction in price due to this.

So, if interest rates are a would-be buyer’s primary reason for staying on the sideline, my recommendation would be to focus on opportunities to negotiate a reduced interest rate from a seller or take a look at new construction, where builders are often offering hefty rate reductions and other substantial incentives.What does this mean as a seller?

In 1976, the Board became concerned about the increasing controversy as to the authority of a federal savings and loan association to exercise a "due-on-sale" clause - a contractual provision that permits the lender to declare the entire balance of a loan immediately due and payable if the property securing the loan is sold or otherwise transferred. 2 Specifically, [458 U.S. 141, 146] the Board felt that restrictions on a savings and loan's ability to accelerate a loan upon transfer of the security would have a number of adverse effects: (1) that "the financial security and stability of Federal associations would be endangered if . . . the security property is transferred to a person whose ability to repay the loan and properly maintain the property is inadequate"; (2) that "elimination of the due on sale clause will cause a substantial reduction of the cash flow and net income of Federal associations, and that to offset such losses it is likely that the associations will be forced to charge higher interest rates and loan charges on home loans generally"; and (3) that "elimination of the due on sale clause will restrict and impair the ability of Federal associations to sell their home loans in the secondary mortgage market, by making such loans unsalable or causing them to be sold at reduced prices, thereby reducing the flow of new funds for residential loans, which otherwise would be available." 41 Fed.

If something had to be adjusted, I would say a slight rent reduction may help, as rents are well above what most locals can afford, and as some people (and its not many) are forced to move back to the cities they moved here from, the demand for rentals is still high but the number of people with the ability to pay the higher prices is reduced.