To say our inventory in the local housing market is low is quite an understatement. See the article below and give me your thoughts!
Zillow: Sacramento-area home inventory is lowest of the low
Published Thursday, Mar. 07, 2013
How low is home-for-sale inventory in the Sacramento area?
It’s the lowest of the low, according to a report released today by Seattle-based data tracker Zillow.
The overall number of homes listed for sale in the Sacramento area on Zillow was down 48 percent year-over-year in late February.
That percentage plunge topped the 30 largest U.S. metro markets tracked by Zillow. Los Angeles was second with a drop of 45.7 percent.
By comparison, the national decline was 16.6 percent.
Zillow’s report looked at all homes available for sale on Zillow on Feb. 24 and compared it with the number of homes available on Feb. 24, 2012.
In the Sacramento metro area, Zillow broke down the year-over-year declines this way: top-tier homes, down 33.4 percent; middle-tier homes, down 53.2 percent; bottom-tier homes, down 61.5 percent.
California metro areas accounted for the top four U.S. markets seeing the biggest decrease in homes for sale over the past year. San Francisco was down 40.9 percent, and San Diego declined 39.4 percent.
“The supply of for-sale listings continues to dry up, driven in part by potential sellers trapped in negative equity and homeowners that won’t sell out of fear they won’t be able to find a suitable home to buy later,” said Stan Humphries, Zillow’s chief economist. “ … Over the past year, inventory tightness has contributed to increases in home values in many markets.
“As home values rise, some homeowners will be freed from negative equity and able to list their homes, which will contribute to an easing of the inventory crunch.”