Over the past two years, the substantial imbalance of low housing supply and high buyer demand pushed home sales and buyer competition to new heights. Now, things have changed and we are moving back to the housing market in the days leading up to the covid pandemic, which was a more stable time.
This year, buyer demand has eased as higher mortgage rates and mounting economic uncertainty moderated the market. This slowdown in demand is clear when you look at the red bar on the graph. We are seeing 12% fewer home showings across the nation compared to last year.
We also see, that nationwide, the number of homes actively listed on the market are up nearly 27% compared to last year. That’s because the moderation of demand allowed housing inventory to increase in 2022.