Housing Market Sees Surge in Inventory, Giving Buyers More Options
Home Listings Reach Highest Level Since 2019
After two years of skyrocketing prices and shrinking inventory, the number of homes on the market has finally reached its highest level since 2019. This surge in listings is a welcome relief for frustrated buyers across the country, who have been facing intense competition and limited choices.
October Sees 29.2% Increase in Listings
In October alone, available homes surged 29.2% from last year, marking a full year of growth in listings, according to an analysis by Realtor.com. Homeowners nationwide are throwing up "For Sale" signs in droves, especially in former pandemic hotspots like Austin, Memphis, and Orlando. Nationally, active home listings rose 29.2% year-over-year, marking 12 months of growth as more sellers enter the market, encouraged by lower mortgage rates.
Regional Breakdown
The South led the regional growth, followed by the West, Midwest, and Northeast. The West is seeing a 7.0% uptick in newly listed homes compared to last October, with markets like Baltimore, DC, and Seattle leading the pack, with newly listed homes jumping by 24.9%, 19.4%, and 17.5%, respectively.
Home Prices Remain Stable
Despite the rush of new inventory, home prices have stayed firm, with the national median price sticking at $424,950 – a level not seen since 2019. According to Realtor.com’s senior economist Ralph McLaughlin, "when a change in the mix of inventory toward smaller homes is accounted for, the typical home listed this year has increased in asking price compared with last year."
More Time to Decide
One silver lining is that more choices mean less pressure to rush a decision. Homes are sitting on the market for an average of 58 days, a whole week longer than last year and the slowest pace since 2019. This gives buyers additional decision time, allowing them to consider their options more carefully.
The Future of the Housing Market
As the surge in listings is bound to create more buyers, McLaughlin predicts that "we now expect home buying activity to begin to tick higher on a year-over-basis through November and December, both because of falling rates as well as a low 2023 benchmark."
Frequently Asked Questions
Q: What’s the current state of the housing market?
A: The number of homes on the market has reached its highest level since 2019, giving buyers more options.
Q: What’s driving the surge in listings?
A: Lower mortgage rates and an increase in homeowners putting their properties on the market.
Q: Are home prices increasing?
A: Yes, despite the surge in listings, home prices have remained stable, with the national median price at $424,950.
Q: How long are homes sitting on the market?
A: On average, homes are sitting on the market for 58 days, a whole week longer than last year and the slowest pace since 2019.
