Housing marketplace inventory is growing across most of the country—just seem at these maps

[ad_1]

Want additional stories from Lance Lambert’s ResiClub in your inbox? Subscribe to the free, daily ResiClub newsletter.

Last month, there ended up 694,820 energetic U.S. households for sale, according to Real estate agent.com. That&#8217s up 24% from March 2023 (562,444 lively listings). But on a regional stage, the calendar year-about-calendar year shift in housing sector stock differs a whole lot.

In Nevada, active listings are down 26% from where by they ended up a year prior, as markets like Reno and Las Vegas tightened up adhering to a temporary residence-selling price correction in the second 50 % of 2022.

In the meantime, energetic listings are up 57% in Florida on a year-about-year foundation, as Southwest Florida marketplaces like Cape Coral and Punta Gorda continue on to soften.

!functionality()”use demanding”window.addEventListener(“information”,(perform(a)if(void !==a.info[“datawrapper-height”])var e=document.querySelectorAll(“iframe”)for(var t in a.information[“datawrapper-height”])for(var r=0rIf active listings begin to rise quickly as homes sit on the market longer, in theory, it can signal a weakening market. If active listings begin to fall quickly as homes sell faster, in theory, it can signal a strengthening housing market.

Big picture: We’re observing some softening across many housing markets as higher mortgage rates temper the fervor of a market that was unsustainably hot during the pandemic housing boom.

That said, most of the country still remains below pre-pandemic inventory/months of supply. Much of the Midwest and Northeast, in particular, remains tight.

National active listings in March 2024 were still 37.7% below March 2019 levels when there were 1,115,940 U.S. homes for sale. That lack of inventory explains why home prices in many markets, despite softening and spiked interest rates, have remained resilient.

Click here to view an interactive version of the map below.

!function()”use strict”window.addEventListener(“message”,(function(a)if(void 0!==a.data[“datawrapper-height”])var e=document.querySelectorAll(“iframe”)for(var t in a.data[“datawrapper-height”])for(var r=0rWhile inventory levels in Florida are up the most in the nation on a year-over-year basis (+57%), the bulk of the increase is really concentrated in sections of Southwest Florida. In particular, in markets like Cape Coral and Fort Myers, which were hard hit by Hurricane Ian in September 2022.

Hurricane Ian left behind thousands of damaged homes, and the subsequent need for renovations has resulted in a surge in available inventory. According to the National Oceanic and Atmospheric Administration, Hurricane Ian caused an estimated $112.9 billion worth of total damage, making Ian the third-costliest U.S. hurricane on record.

In addition to residential property damage, the hurricane has also coincided with spiked home insurance costs. This combination of increased housing supply for sale, the damaged homes, coupled with strained demand—the result of spiked home prices, spiked mortgage rates, higher insurance premiums, and higher HOAs—has translated into market softening across much of Southwest Florida.

Click here to view an interactive/zoomable version of the map below.

!function()”use strict”window.addEventListener(“message”,(function(a)if(void 0!==a.data[“datawrapper-height”])var e=document.querySelectorAll(“iframe”)for(var t in a.data[“datawrapper-height”])for(var r=0rWhile active inventory in areas like Fort Myers and Cape Coral are back above pre-pandemic inventory levels, many areas of Florida, including Miami, are still below pre-pandemic inventory levels.

Click here to view an interactive/zoomable version of the map below.

!function()”use strict”window.addEventListener(“message”,(function(a)if(void 0!==a.data[“datawrapper-height”])var e=document.querySelectorAll(“iframe”)for(var t in a.data[“datawrapper-height”])for(var r=0rIf inventory continues to mount, could more parts of Southwest Florida see home price declines? Presumably, yes.

If housing affordability remains constrained and active listings/months of supply continue to spike in parts of Southwest Florida, prices could soften/further soften.

[ad_2]

Source link