A severe shortage of homes available to buy have hindered existing home sales figures this year but new reports show that the tide may be turning. The National Association of Realtors reported this week that inventory of homes for sale rose 4.3 percent from May to June and 0.5 percent from last year. This represents the first annual increase in three years.
Home inventory is still well below what experts consider normal levels and June's increase may not do much to relieve rising prices unless the trend continues.
A report from Trulia notes that the nation's most expensive housing markets experiences "unusual" inventory relief last quarter on an annual basis, including New York and Los Angeles, where the supply of homes increased by 1 percent and 2.9 percent respectively. In San Diego, inventory levels shot up 22.1 percent from Q2 2017 to Q2 2018.
Meanwhile, conforming no-point 30-year fixed mortgage rates are averaging 4.5 percent, 15-year rates are near 4.0 percent and the 5-year ARM is averaging 4.0 percent.
Do you have a question for Real Estate & Mortgage Analyst Mehran Aram? Submit your queries about a home purchase, refinance, or reverse mortgage via Aramco.Biz, social media (#AramcoReport), or over the phone at (866) 381-8888 and your questions may be featured in an upcoming article.