The June market reflected continued strong demand and low inventory. However, signs are there that the market is shifting/turning, with a lot of negative numbers in year-over-year comparisons.
This could be good news for buyers but inventory will have to rise in the entry-level sector for first time buyers to really feel a change. The problem is that, year-to-date, new single family home listings are down 14% and condo/loft/TICs are down 20%, while sales are down only 4.6% and 0.9%, respectively. Inventory is not keeping up with demand.
Yet buyers are not driving prices up the way they have over the past 5 years. Single family home sales eeked out only a 0.8% year-over-year appreciation, while condo/loft/TIC prices declined 0.43%.
While median days on market rose for both single family homes and condo/loft/TICs, they are still very low. In other words, properties continue to sell very quickly. And, 79% of homes and 59% of condos are still selling above list price.