Rising inventory is the phrase everyone is holding their breath for in today’s real estate environment. The lack of homes is pricing out buyers and creating a heated market—could relief be on the way? According to a new Zillow report, there’s been improvement.
The findings:
May inventory increased by 3.9% compared to April—the first uptick since July 2020 and only the fifth increase in the last 24 months. Of the top-50 largest U.S. markets, only six experienced lower inventory since April. Across the U.S., inventory is down 31.2% since May 2020—an improvement over the 32.8% YoY decline seen in April.
What it means:
“Despite extremely strong demand for homes in this red-hot market, a steady increase in new listings appears to have finally started turning the tides, bringing a long-anticipated turn toward more choices for buyers,” said Treh Manhertz, Zillow economist. “Builders are rushing to churn out new homes, while widespread vaccinations and improved confidence in the economy should help current owners feel more comfortable listing their homes for sale.”
