The first two revelations centered around the shortage of housing inventory currently available in both existing homes and new construction.
Regarding Existing Home Inventory:
“For the fourth year in a row, the inventory of homes for sale across the US not only failed to recover, but dropped yet again. At the end of 2016 there were historically low 1.65 million homes for sale nationwide, which at the current sales rate was just 3.6 months of supply – almost half of the 6.0 months level that is considered a balanced market.”
Regarding New Home Inventory:
“Markets nationwide are still feeling the effects of the deep and extended decline in housing construction. Over the past 10 years, just 9 million new housing units were completed and added to the housing stock. This was the lowest 10-year period on records dating back to the 1970s, and far below the 14 and 15 million units averaged over the 1980s and 1990s.”
The biggest challenges in today’s market are getting current homeowners and builders to realize the opportunity they have to maximize profits by selling and/or building NOW, and getting buyers to recognize that they can still find their dream home despite the inventory shortages!
If you are a seller or buyer, and not sure if this is the right time to act, and would like to find out, contact a Real Estate Advisor | REALTOR® from Martin Real Estate Advisors, a United Real Estate Company, at 469-262-5411, or just complete the GET IN TOUCH form on this page. We will get back to you as soon as possible to discuss the local real estate market and your specific situation.
Content credit to Keeping Current Matters at www.simplifyingthemarket.com.