The National Association of Realtors (NAR) Existing Home Sales Report shows there is a shortage of housing inventory being throughout most of the country. Buyer demand is up over last year at the same time. Here are some key points:
- The US housing inventory at the end of January fell 4.9 percent to 1.74 million existing homes available for sale, which represents a 4.2-month supply.
- This is the lowest housing supply since April 2005 when it was also 4.2 months.
- The active listed inventory is presently 25.3 percent below a year ago when there was a 6.2-month supply.
- Actively listed homes are at the lowest level since December 1999 when there were 1.71 million homes on the market.
So, what exactly is happening in Bellingham, WA?
We are seeing the same trends in the Bellingham homes for sale.
- Bellingham’s homes for sale are at a 5 year low.
- Bellingham’s closed homes are at a 3 year high.
- Bellingham’s Months’ Supply of Inventory (MSI) is just a a little above a 3 year low.
Bellingham is now in “Seller’s Market” with about a 4 months worth of inventory.
Here is a general guideline:
1-4 months’ supply is a Sellers’ market where there are not enough homes to satisfy buyer demand. Prices tend to rise.
5-6 months’ supply is a Balanced market. Historically home values appreciate at a rate a little greater than inflation.
7-8 months’ supply is a Buyers’ market where the number of homes for sale exceeds the demand. Depreciation often follows.
If you’d like some information about selling your home or a market analysis give me a call.