November 15, 2023

By Isabel Guzman, Realtor®

Video Transcription

Homebuyers, are you wondering what is causing the low housing inventory in your area?

Hi, I'm Isabel Guzman Broker Associate and Realtor with exp Realty. Over this last year, the housing market has experienced lower-than-normal inventory levels.

So why is this? It is a combination of three factors coming together at the same time to create this scenario.

Lack of Building over Time: For the last 14 years, builders did not construct enough homeswhich has caused a long-standing shortage of new homes. Total new homes built over the last 14 years have been below the 52-year average.

Mortgage Rates: Some omeowners who are locked in with low mortgage rates do not want to sell and get into a higher mortgage rate. This means fewer existing homes are coming into the market. And finally, People are just not moving.

Today’s data is showing folks are just not moving as quickly anymore. Since 2010, data shows people are living in their houses longer for an average of nine-plus years versus six years prior to 2010. Combining all of these factors together creates a low housing supply.

But with all that said, real estate agents know exactly where to look in their local area to still make your home-buying dream a reality. We are experts in the market. If you would like more information on the current housing market, please reach out to my team.

I'm Isabel and I'm always happy to help.