NEW YORK – July 21, 2015 – Bidding wars are returning to U.S. housing markets with too few homes for sale.
A number of conditions led to the current lack of for-sale inventory, including an unexpectedly sluggish rebound in home construction. At the same time, millions of homeowners aren't listing their home because they don't believe they'll qualify for a new mortgage, or that they cannot afford the costs associated with a sale.
As of May 31, there were 2.3 million existing U.S. houses on the selling block – enough inventory to last 5.1 months at the current sales pace but shy of the six to seven months of supply that typically signals a balanced market.
But in more than 33 percent of the 300 biggest metro areas tracked by Realtor.com,…