Let’s clear up a misunderstanding. Despite what you may have heard, today’s housing market isn’t like it was back in two-thousand-and-eight. And I can prove it.
Check out this graph. It shows the supply of homes for sale is different this time. The red bars show, back in two-thousand-and-eight, there were too many homes for sale compared to the number of buyers in the market. There was also a wave of short sales, foreclosures, and overbuilding that put the market in a bubble.
But look at the blue bars. According to the latest data, now the unsold inventory sits at just a three-point-three months’ supply at the current sales pace. That’s significantly lower. There just isn’t enough inventory for home prices to come crashing down today.
Despite what the media may be telling you, this is one reason why the data shows this isn’t like the last time.
If you have questions about what’s happening in today’s housing market, I’m your person. Let’s connect so you can get the answers you need today.