We're still not close to a balanced market, which would be a 6 months' supply of homes for sale. However, we are seeing a slow but steady increase in homes coming up for sale. And that leaves many buyers and sellers wondering the same thing: what does that mean for me?
Buyers: More Options Are Arriving, so It's Time To Act
If you're a buyer, more inventory coming to market is a welcome sight. More supply means more options and less competition, which could mean fewer bidding wars.
According to the latest Monthly Housing Market Trends Report, supply levels are continuing to increase, which is different from the typical summer market:
If you're having trouble finding your next home, this news should give you the hope and motivation to keep your buying process moving forward. Experts project mortgage rates will begin increasing, which will make purchasing a home less affordable as time passes. You can still capitalize on today's low interest rates, so stick with your search as more homes come to market.
Sellers: Our Supply Challenges Aren't Over Yet, so Now Is the Time To Sell
If you've been putting off selling your house, you shouldn't wait much longer. The year's month-over-month gains in homes for sale have helped buyers, but we're still very much in a sellers' market.
As the graph below shows, even with the number of homes for sale rising, we're still well below the supply levels we've seen historically:
Of course, more homes are coming to market now, and more are expected in the coming months. Selling your house this summer gives you the chance to get ahead of the competition and maximize your sales potential before more homes are put up for sale in your neighborhood.