Fred Housing Inventory (2025)

FAQs

What month is housing inventory highest? ›

Generally speaking, late spring and summer are the peak real estate season, when there's the most inventory to choose from — but also the most competition, and the highest prices. If affordability is a concern, you're likely to score a better deal during the winter months.

Inventory is calculated monthly by taking a count of the number of active listings and pending sales on the last day of the month. If inventory is rising, there is less pressure for home prices to increase.

Various factors can create a housing shortage. The current one is a result of: too few homes being built over decades; high mortgage rates making moving home unaffordable for homeowners; COVID-19 disruptions; and Wall Street investors buying up too many owner-occupied homes for rental.

Typically, winter time is the slowest of the year to sell a property, specifically November, December, and January. However, there are some exceptions because there are several conditions that affect the housing market.

Mortgage rates are expected to come down in 2024, and inventory and home sales are likely to increase. Homebuyers and sellers can also expect prices to continue to rise, albeit at a slower clip than the past couple of years.

The months' supply measures how many months it'd take to sell all the homes in the current housing inventory if there are no new listings or changes in the current sales pace. This is also known as the absorption rate because it signifies the rate at which the market will absorb existing homes in the current inventory.

But the way inventory is valued for accounting purposes — and the subsequent impact on a company's financial statements — will vary by company and by what is being sold. Four valuation methods are typically used: first in, first out (FIFO), last in, first out (LIFO), weighted average cost and specific assigned value.

However, the link between those objectives and issuing a Memorandum of Sale (MOS) may not be as obvious. Agents who understand the importance of creating an MOS quickly will ensure their predicted exchanges fall into the correct month's sales forecast and will see those marginal gains.

Home values and rents in California are among the most expensive in the nation, and the state has one of the highest rates of homelessness. Californians are increasingly concerned about these issues, with more than a third saying they've considered leaving the state due to housing costs.

Is there really a housing shortage in the US? ›

Finding affordable housing for both renters and buyers is feeling impossible lately. Experts point to a shortage of an estimated four to seven million homes. Finding an affordable place to live in the U.S. can feel pretty impossible whether you're a renter or a buyer.

After more than a year, Atlanta was edged out by this Midwest city. Detroit is now the most overpriced housing market in the United States, edging out Atlanta, which held the spot for more than a year.

Nationally, the best time to sell a house is March if you're trying to sell quickly, while the best time to maximize profit is July. Zillow recommends listing your home for sale in March, but no later than Labor Day, based on historical market trends.

Most listings hit the market in a short window between the months of April and June. If you're planning to buy in a market with harsh winter weather, May and June typically have twice as many active listings as December or January.

You'll find the best inventory of houses in spring. If you're after a bargain, consider searching for a house in late autumn or winter. Inventory is lower, but you have a higher likelihood of getting a house below the asking price.

Fall Months

Late summer through early fall tends to be the best time of year to buy a house. There's less competition but still plenty of inventory. Prices are also more likely to drop because sellers who listed their home in the spring or summer might be open to a lower offer in an effort to sell before winter.