We’ve been hearing about low inventory since January, but now we may be seeing signs that sellers are returning to the market. For the first time since March, new listings growth surpassed its January 2020 level, according to realtor.com’s Weekly Recovery Report.
New Listing Growth
The national report for the week ending August 8th, shows new supply group reached 101.7, and an increase of 1.7 points compared to January. What does this mean? Listing growth dropped significantly in March and April, and has now recovered to levels from before the pandemic hit.
According to realtor.com,
“All four major components of housing activity – new listings, housing demand, asking prices, and the pace of sales – are all growing above realtor.com’s pre-COVID baseline of January 2020 levels, an important first step towards broader recovery.”
A Start in the Right Direction
While it’s encouraging to note that new listings are on the rise, inventory remains down year-over-year. Remember, January’s inventory was low to begin the year.
Translation? There still are not enough homes to meet buyer demand in the current market. But with this recent growth in new listings, it shows that more sellers are feeling comfortable listing their home.
“After five long months, sellers are back in the housing market; while encouraging, the improvement to new listings is only the first step in the long road to solving low inventory issues keeping many buyers at bay,” said Javier Vivas, director of economic research for realtor.com®.