For the first time in a long time, the number of newly listed
homes is beginning to rise. In their latest monthly release, realtor.com
reveals the number of existing homes entering the market has increased for two
months in a row (this comes after six months of declines). Here’s a graph
showing the monthly new listings going back to January of last year. The green
bars indicate the first gains since June.
However, buying demand is still outpacing housing supply.
Though the increase in homes coming to the market is
great news for prospective homebuyers, the number of buyers is still outpacing
the number of homes available for sale. As realtor.com explains in their
“During the final two weeks of the month, more new
sellers entered the market than during the same time last year. . . . However,
with 5.8 million new homes missing from the market and millions of millennials
at first-time buying ages, housing supply faces a long road to catching up with
In fact, according to the latest ShowingTime Showing Index,
which tracks the average number of appointments received on active listings
during the month, buyer demand was greater this January than any other January
in the last five years (see graph below):
This prompted ShowingTime to say:
“The latest data from ShowingTime . . . shows a surge in
home buyer demand in January. . . . This enormous activity occurred in a month
when buyer activity typically slows and followed a historic 2021, where buyer
demand across the country was extraordinarily strong.”
What does that mean for you?
Basically, as homes come to the market, they are quickly
being purchased by eagerly awaiting buyers. So even though the number of newly
listed homes is increasing, the number of active listings is still shrinking
every month because buyers are purchasing homes almost as soon as they come up
for sale. That means listings are coming on and off the market so fast that
they don’t carry over to be counted in the active listing numbers the following
month. Here’s a graph showing the number of active listings each month since last
January using data released by realtor.com:
This graph shows that the number of active listings has
decreased for each of the last five months even though the number of newly
listed homes has increased over the last two months.
Whether you’re looking to upgrade to a home that will better
suit your lifestyle or looking to purchase your first house, let’s connect so
you can stay updated on what’s happening in your area. And be prepared to move
immediately if a home fitting your needs hits the market. Your dream home may
be one of those new listings that just became available, but if you don’t act
quickly, it could be gone tomorrow.