By Mike Simonsen | HousingWire
Everyone knows that potential homebuyers are waiting for better affordability. But if demand for homes at current prices is down then why haven’t home prices fallen to meet the lower demand?
The short answer is that while homebuyer demand is indeed low, new supply remains very low, too. For home prices to adjust significantly, we need an imbalance of supply versus demand, and this market is surprisingly balanced.
Here are some quick takeaways from our latest data dive at Altos Research.
Inventory is up as homes sit for longer
As of Oct. 23, there were 554,000 single-family homes on the market. That’s up 1.5% from last week. Inventory is growing faster than last year at this time.
There were only 57,000 new listings of single-family homes unsold again this week. There are fewer sellers now than any recent year.
