July Market Stat Highlights
Bidding wars have become a thing of the past
New inventory is up 7.7% month-over-month
Total Supply is up 237% year-over-year
3+ months of inventory in most SE Valley cities
What does all this mean?
Inventory is climbing and demand is dropping. The balanced market is right around the corner. Keep in mind stats are 30-45 days behind, so in all reality, the balanced market is here right now.
Last month’s numbers showed around a 3 to 4 month supply of homes in some popular SE Valley cities (see stat charts below). Typically we say a 6–month supply of homes would be a balanced market. The inventory is climbing daily so I would not be surprised if next month’s issue of In The Know says that we are officially labeled as a balanced market.
This doesn’t mean it’s a bad market or a bad time to buy or sell. It means we are back to normal. And normal has been so skewed for the last 2 years that a real normal seems horrendous. Don’t buy into that negativity. Instead, you need to look at your reasons for selling or buying. Does that reason make sense with the current market? If yes, then you are good to go.
One thing I’ve learned over the last 15 years is that every situation is unique and that unique situation will determine if it’s the right time to make a move. I have worked in “the crash”, I’ve worked in balanced markets, I’ve worked in this crazy seller tsunami that we just exited. In every market there are people who make a move and when done for the right reasons, it is a smart move to make.
If you’re considering a move let’s chat about your “why behind” and determine if now is the right time for you.
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