The inventory troubles that held up the real estate market earlier this year subsided with the peak buying season of spring and summer. Though a lot of housing inventory was purchased during the season, sellers are continuing to list their homes for sale.
What does this mean for buyers and sellers? Prices will continue to increase but at a slower pace. This also means unlike the beginning of the year, there won’t be as much competition for each house on the market, and buyers will more likely find a house in fewer days. Overall, supply and demand will start to even off and so will prices.
While inventory levels seen above show a drastic drop, much of that is due to a decreased level of distressed inventory. Distressed inventory comes to market as short sales and foreclosure, and the dips in distressed inventory levels seen above indicate the overall health of the real estate market.