More Homes, Slower Price Growth – What It Means for You as a Buyer

The housing market is experiencing a significant shift, with more homes for sale now than in years, creating a game-changing opportunity for buyers ready to act. This surge in inventory means more choices, less competition, and a smoother buying experience. Additionally, slower home price growth improves affordability, making it easier to find a property that fits your budget. If you’re considering buying a home, now is the perfect time to take advantage of these favorable market conditions. Explore the increased inventory and find your dream home today!

You Have More Options To Choose From

An article from Realtor.com helps explain just how much the number of homes for sale has gone up this year:

“There were 29.2% more homes actively for sale on a typical day in October compared with the same time in 2023, marking the twelfth consecutive month of annual inventory growth and the highest count since December 2019.”

Although the number of homes for sale hasn’t fully returned to pre-pandemic levels, the current housing inventory shows significant improvement, offering buyers more options than in recent years (see graph below):

With more homes available for sale now, you have more options to choose from. As Hannah Jones, Senior Economic Research Analyst at Realtor.com, explains:

“Though still lower than pre-pandemic, burgeoning home supply means buyers have more options . . .”

This gives you a greater chance to find a home that fits your needs perfectly. With more homes on the market, the buying process feels less rushed, and reduced competition from other buyers makes it easier to secure your dream home.

Home Price Growth Is Slowing

Low housing inventory forces buyers to compete intensely for available properties, which is exactly what happened in recent years, driving home prices to rise rapidly.

However, the growing number of homes for sale is now slowing down the pace of home price growth, making the market more favorable for buyers (see graph below):

In some markets, housing inventory has not only returned to pre-pandemic levels but has even surpassed them. As a result, home price growth in these areas has slowed significantly or stalled entirely, creating more opportunities for buyers. As Lance Lambert, Co-Founder of ResiClub, explains:

“Generally speaking, housing markets where active inventory has returned to pre-pandemic 2019 levels have seen home price growth soften or even decline outright from their 2022 peak.”

Slower or stalled home price growth increases your chances of finding a property that fits your budget, making homeownership more accessible. As Dr. Anju Vajja, Deputy Director at the Federal Housing Finance Agency (FHFA), says:

“For the third consecutive month U.S. house prices showed little movement . . . relatively flat house prices may improve housing affordability.”

But remember, inventory levels and home prices are going to vary by market.

Partnering with a knowledgeable local real estate agent is a major advantage. They understand market trends in your area, helping you find a home that matches your needs and budget while navigating the best opportunities.

Bottom Line

With more housing options and slower home price growth, it’s easier to find and purchase a home that fits your lifestyle and budget. Don’t wait— reach out today to explore the expanding opportunities in the current housing market!