More Inventory, But Supply Still Low and Prices Increasing

You can see it in the streets:  more homes are for sale now than in the past couple months.  but inventory is still 16% below last year’s and there are still tons of buyers – in fact buyer activity may be spiking as people rush to try and purchase before interest rates go up further.

This continued supply/demand imbalance is keeping upward pressure on home prices, with prices increasing 3% over the previous month.   From Metrolist:

Rising interest rates clearly have a significant impact on the marketplace as some buyers have found their buying power slightly reduced, however, the continued availability of historically low interest mortgage loans still makes for a very fast-paced marketplace.