Low inventory has characterized the housing recovery for several months, but may be finally showing signs of improvement. The number of homes for sale in April inched 1.6% higher than the number seen in March, the first monthly increase since June 2010. At the same time, Closed Transactions and Median Prices both remained 10% higher than last year’s levels. The April RE/MAX National Housing Report, a survey of MLS data from 52 U.S. metropolitan areas, contained signs of a strong housing recovery in regions across the country. Low inventories contribute to a limited growth in sales, preventing some buyers from closing on the home of their choice. But if inventories can rise to a more balanced level, the recovery should strengthen and experience even more home sales. The Months Supply of homes for sale at April’s pace of sales was just 3.6 months, the lowest supply since the RE/MAX National Housing Report began in August 2008. A balanced market is achieved with a Months Supply of 6.
The above is an excerpt from the monthly RE/MAX National Housing Report; read the full two-page report.