Currently, one of the significant obstacles in the housing market is the scarcity of available homes for sale in comparison to the high demand from potential buyers. To highlight the extent of this limited housing inventory, let's examine the most recent data on active listings, which refers to the number of homes available for sale within a specific month, and how it compares to typical levels.

As reported by Realtor.com in their recent analysis:

 “On average, active inventory in June was 50.6% below pre-pandemic 2017–2019 levels.”

To offer a clearer perspective on this issue, the graph below utilizes historical data to visually demonstrate the significant disparity between the current housing inventory levels and those typically observed in a more balanced market (refer to the graph below):

Please note that the graph does not include data from 2020-2022 as those years were considered highly atypical for the housing market. To ensure a fair comparison, the data from those years has been excluded to prevent any distortion. When comparing the orange bars representing 2023 with the active listings during the last normal years for the housing market (2017-2019), it is evident that the count of available listings remains significantly below the typical levels.

What Does This Mean for You? 

If you are considering selling your house, the current low housing inventory presents an excellent opportunity to do so. The limited choices available to buyers compared to more typical years continue to impact key statistics in the housing market. This is reflected in the latest Confidence Index from the National Association of Realtors (NAR), which reveals encouraging data for sellers:

  • The percentage of homes sold within a month experienced a slight increase, reaching 74%.

  • The median number of days a home stays on the market decreased to just 18 days, indicating that properly priced homes continue to sell quickly.

  • The average number of offers received on recently sold homes rose to 3.3 offers, suggesting a competitive market for sellers.

Bottom Line

In a market with such limited supply, your house is likely to attract significant attention. As a result, sellers are experiencing quicker sales and receiving a higher number of offers. If you have considered selling your home, now is an opportune time to take action. Begin the process by reaching out to a reputable real estate professional who can guide you through the selling process.