Inventories Have Returned to Normal - But What is Normal?

While housing inventories are still 13.4% lower than they were list year, it is still much closer to what is considered a balanced 6-month-supply market, according to Real Estate Economy Watch and the recent RE/MAX report.

In September, home sales were up 10.7%, and the median price of these homes ($185,000) was 12.2% above the median price of homes last September.  This makes 20 consecutive year-to-year increases for the month of September.

These moves mark a shift towards stabilization, and normality.  However, if you are a homeowner waiting for the market to return to normal, we would like to note that based on historical and currnet trends, this is "normal".  What we can remember, in our recent memory of the real estate market over the last 10 years, is an anomaly relative to how the market operates.  Waiting is not likely to be more beneficial in the long run, as the market is now at a stable place for most to begin exploring opportunities.


CEO of RE/MAX, Margaret Kelly, is pleased to see where the market is going.

"It’s normal for the housing market to slow down a bit after the peak summer season, but it’s really encouraging to see that both sales and prices remain significantly higher than this time last year.  The strong performance we saw this summer and throughout 2013 confirms we’ve passed the early stages of a housing recovery and are now moving toward a sustainable marketplace."

What do these figures mean for you as a homeowner?  How will the market treat your properties?  Send me an e-mail or give me a call and I will be happy to answer your questions.