Inventory levels continue to grow week-over-week but that growth has slowed to a crawl, according to the latest data from Altos Research…(Altos)
- Housing Inventory was up 1.0% for the week to 544,000 single-family homes on market.
- This is the second week in a row of 1.0% week-over-week inflation.
NOTE: When housing began to slow in April housing inventory was jumping between 5-7% a week. However, in mid-July, the weekly gains began averaging around 3.0%.
Home prices have leveled out, but we have yet to see any real indicator of a correction. The medium price of single-family homes in the US is just under $450,000 this week and down just a fraction from the last week, but it’s been hovering at this $450,000 range for the last month or so.
- NOTE: Mike Simonsen believes 450 is probably the max for the next two years, “… based on the fact that we now have 30% more homes on the market right now than we did last year at this time. And that tells us that by next summer, there really isn’t a lot of room for prices to go up past 450. I think this’ll probably be our peak maybe for two years.”
A lot of crash bros have hung their hats on rising inventory levels as proof the next housing crash is imminent. While inventory levels are still rising, at a 1.0% pace it would take about a year for inventory to climb back to just pre-pandemic levels. I know, I am just shocked that the housing bros are wrong again…