Is Inventory Getting Back To Normal?

After years of low inventory and fierce competition in the housing market, the situation is finally starting to shift. For buyers and sellers alike, that’s welcome news. Inventory is on the rise across the country, offering more choices and a slightly more balanced market, but the pace of change depends heavily on where you live.

Here’s what the current landscape looks like and what it means for your next move.

Nationwide Inventory Is Growing

According to recent data from Realtor.com, all four regions of the country are seeing notable increases in housing inventory. In fact, inventory is up at least 19% year-over-year everywhere, and in the West, that jump is nearly 41%. Two key reasons for this uptick include:

• More Homeowners Are Listing: With many sellers no longer waiting on the perfect mortgage rate, we’ve seen a surge in new listings.  May recorded more new listings than any other May in the past three years.
• Homes Are Staying on the Market Longer: The average home is now taking 51 days to sell, which means listings are accumulating and giving buyers more to choose from.

This increase is helping move the market toward balance. While we’re not yet in a full-fledged buyer’s market, we’re heading in that direction. As Danielle Hale, Chief Economist at Realtor.com, puts it:

“The number of homes for sale is rising in many markets, giving shoppers more choices than they’ve had in years . . . the market is starting to rebalance.”

Local Markets Vary Significantly

It’s essential to note that while national trends provide an overview, real estate is highly localized. Some areas are recovering more quickly than others. When comparing today’s inventory to the last normal period (2017–2019), some regions are approaching typical levels, while others are still below that standard.

For buyers, this means your experience may differ drastically depending on where you're looking. In areas where inventory has returned to normal, expect a more traditional homebuying process with greater selection. In slower-recovering markets, you may still encounter competition or fewer listings.

What This Means for You

Whether you’re buying or selling, this shifting market presents new opportunities:

• Buyers have more options than they did a year ago, which can ease the stress of home shopping.
• Sellers can still benefit from relatively strong demand, especially in markets that haven’t fully caught up with inventory needs.

Either way, working with a local expert is key. A knowledgeable agent can help you understand the dynamics in your specific market and strategize accordingly.

Conclusion: Let’s Talk Local

Inventory is improving, but the timeline for a full return to “normal” varies by location. If you’re considering buying or selling, now is a great time to check in and understand how these shifts impact your plans.

Let’s connect and dive into what’s happening right here in our community. Reach out to me, Bret Johnson, at 480-775-7700 or by email at bret@renetgroup.com, for insights into our local market and a personalized game plan for your next real estate move.

Reference:
This summary is based on insights from Bret Johnson, Associate Broker at Realty Network Group at Real Broker, and Keeping Current Matters. For the full article, visit Real Estate with Bret Johnson.