Understanding housing inventory is key to understanding what condition the real estate market is in and how you should proceed, whether you’re a buyer or a seller.
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What is housing inventory and why does it matter?
Housing inventory is the total number of homes that are currently for sale on the MLS. That figure represents the active available inventory.
As far as the real estate market goes, it’s important to have a balanced inventory. Buyers and sellers should have equal opportunities to accomplish their objectives. A balanced inventory is considered four to six months’ worth of available homes on the market. For example, if there are fewer than four months of inventory, the market favors sellers. If there are more than six months of inventory, the market favors buyers.
"It’s important to have a balanced inventory."
What’s our current housing inventory like? As of right now, there are 24,000 homes available in Maricopa and Pinal County. That gives us four months’ worth of inventory. Last month, we sold 6,800 homes. The month before that, we sold 8,000. This trend tells me that the market is slightly favoring sellers. If you’re thinking about selling, now is probably the time to do it.
If we can answer any questions you might have about buying or selling real estate, please give us a call or send us an email. We’d love to help you!
