Shrinking Inventory: What Does It Mean For Sellers?
Over the past few months, the Kansas City metro has seen shrinking inventory in most areas. We have also seen sales up anywhere from 10-20% from the previous year (depending on the area). So what does this mean for home sellers?
There is a definite shift going on right now in our local market. Inventory of new & existing homes is at a level we haven’t seen for quite some time. This means that if you are thinking about selling your home right now and you are realistic about your price, now is as good a time as any to list your house. With fewer homes on the market and home sales continuing to pick up, your competition is going to be lower, while the buyer demand still exists. Inventory rates indicate that this is no longer a buyers market. Take a look at inventory numbers over the past year. We started to see a progressive downward trend towards a balanced market (5-6 months of inventory represents a balanced market). The argument could absolutely be made that it is turning into a sellers market. Existing home inventory in December 2012 was 16% lower than December 2011. New home inventory is down 13% from December of 2011. Take a look at the graph below regarding inventory in the Metro area. New & existing home inventory is at 4.8 months, down from 6.7 a year ago. Links are available below for the December 2012 KC Regional Market Report & Real Estate trends by area. Reports can be narrowed down by county and city.
Posted on January 30, 2013, in Real Estate and tagged home ownership, home prices, inventory, kansas city, kansas city metro, kansas city real estate, local market trends, real estate trends, real-estate, sell my home. Bookmark the permalink. 1 Comment.