There are more for-sale homes on the market now than there were at this time last year, but high home prices continue to block buyers from making a purchase.
According to data from Realtor.com, there were 1.32 million active home listings in the U.S. in February, up 6 percent annually. This was the fifth month in a row with inventory growth, and MarketWatch reports this has been especially positive for Western markets, including Denver and San Jose, Calif. Denver had the greatest inventory increases of all U.S. metros, 155 percent year-over-year.
But the increased inventory isn’t necessarily translating into lower home prices in all of these cities. The median listing price nationwide in February was actually 7 percent higher than a year ago at $295,000. And the median length of time homes spend on the market remained unchanged at 83 days — a sign that competition for properties remains fierce.
Moreover, housing inventory isn’t being added equally across all price points. “We still see fewer homes priced under $200,000 on the market, so entry-level buyers won’t see the same availability of options as high-end buyers,” Danielle Hale, Realtor.com’s chief economist, said in the report.
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