More Inventory Helps Solve Problems

A lot of people have been on the fence about selling their home based on how the housing market has been in the past few years. For those potential sellers, their biggest question is often: where will I go if I sell my house now? If you might be one of these on-the-fence sellers, there is some good news you should know. For buyers of all types, whether move-up, first-time, or even future sellers, relief is on the way. The number of homes that are showing up on the market is going to make it easier and allow for more options when going to buy your house. Here is how more inventory helps solve problems in the housing market.

According to the latest data from, more homes are being listed for sale as new listings. As new listings have increased consistently over the first half of the year, this trend is likely here to stay through summer. With a sign of more listings and longer days on market, some relief to buyers is coming. While prices of homes will likely increase more, the rate of price increase will likely slow. However, prices will likely still remain elevated and will most likely not decrease. According to the graph below, listings have been increasing this year at a steady pace.

More Inventory Helps Solve Problems

The graph above shows the number of new listings by month in 2022 (by the thousand).

More Inventory Helps Solve Problems: Options Problems

Many people are stuck looking at the same houses that multiple other buyers are also looking at. Sellers have a unique advantage to continue to control the market, even as inventory ticks up. While sellers will still receive top dollar for their homes, the increase in inventory will allow them to look to their next step: buying. Buyers can benefit from the increase in inventory that is likely to continue to increase. As more options come available to the market, you will be able to have more options to choose from. This could allow you to find your dream house in a market where buyers are still at a disadvantage, but gaining leverage.

The biggest issue we have seen in the housing market has been caused by the inventory problem. This is the main driver in home prices, and an increase in inventory will likely slow the increase of prices. If inventory can increase at a higher rate and stay elevated, we could see an overall shift in the housing market. Maybe in a few months/years, buyers will actually have the upper hand.

Selling Before The Competition Arrives

Now for sellers, it is very likely that selling now will allow you to get on the market first, and before more competition. To make your house stand out, it is important to list it correctly, at the right time, and with the right people. Listing your home before your neighbors and other comparable properties can allow you to sell quickly. According to a recent study from, two-thirds of homeowners who are looking to sell are planning to do so by August. This will likely lead to an increase in inventory, much higher than the current average of less than one-month of inventory.

If we can continue to see a drove of sellers, buyers could be in for a treat. The longer homes stay on market, the more desperate sellers will end up getting. This could allow for some deals you would not think were imaginable. With inventory increasing, that is a positive to see in the real estate market. However, according to other real estate market data, we are seeing a slowdown in real estate. More buyers have been priced out as mortgage rates hit the highest levels in decades, and prices are increasing at historical rates.