I was excited last month when I saw that the inventory of homes on the market had declined. I didn't want to say anything until this months report came out. The great news is that most cities showed even more of a decline in inventory. The reason is good old "Supply and Demand". The indicators show that once the supply is more equal to the demand, there is less to choose from and the prices stabilize. If interest rates stay low, affordability should remain stabile. This is an indication that home prices will also stabilize. So if you are thinking of buying, don't wait!
It is the natural cycle that the number of homes that sell in May, June and July increase as do the number of homes on the market. Again the supply and demand records will show the trend. If the inventory is 4-6 months, we would be in a stable market. So watch the inventory, it is an important factor in the timing for buying and selling.
So if you or any one you know is thinking of buying or selling, please give me a call so I can help them in this process.
Diana
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