More homes came on the market in June

Photo (c) fstop123 – Getty ImagesThere is good news if you are in the market to buy a home. Realtors report that more homes came on the market in June after months of record-low inventory.

But that relief can be hard to notice. Real estate marketplace Zillow reports that inventories remain low while demand has not let up. The median home price in June set records for both monthly and annual appreciation.

Zillow economists say the number of home listings rose 3.1% in June after another surge in May. Even so, the number of available apartments is still almost 30% below the 2020 level, which in turn was lower than in 2019.

“Another month of growing housing stock gives buyers some additional options and a little more bargaining power,” said Jeff Tucker, chief economist at Zillow. “While inventory remains incredibly low by historical standards, it is now on track for buyers to hope for a slowdown in price growth this winter in line with normal seasonal trends.”

Sales and prices are also increasing

As inventory levels rise, so do sales. In an independent report, real estate agent REMAX found that sales of its listings rose 14.2% in a strong May. It also outperformed all other months in the report’s 13-year history, which covers 53 subway markets.

The average sales price of $ 336,000 was also a record, beating the previous record of $ 320,000 – set in April and tied in May. According to REMAX’s count, inventories grew less than 2% last month, with inventories falling more than 37% below June 2020 levels.

“In June there was a unique case where supply and demand rose in unison, thanks to an increase in sellers listing their homes for sale – a very welcome sign for frustrated buyers,” said Nick Bailey, President of RE / MAX. LLC. “People are moving as companies and individuals make long-term remote working decisions and return to the office.”

Bailey said another factor driving the increase in listings is increasing confidence among sellers that they can find another home after they sell their current one.

“If these trends continue, inventories should continue to rise,” said Bailey.

According to Zillow, the growth in the housing supply is still far from equality in the market. Sellers will remain in the driver’s seat until then, and buyers will face the dual challenges of rising prices and near-record-low inventory levels.