Potential first-time buyers love the fall for reasons beyond the changing colors of the trees. This is the season when starter homes hit the market and become a little more affordable.
According to Trulia, starter home inventory typically increases by 7 percent compared to the spring, making homes 3.1 percent cheaper. The Trulia Inventory and Price Watch report indicates that 70 of the largest 100 metros see peak annual starter home inventory between October and December.
Potential homebuyers can use a bit of hope, based on the way the housing market has shifted.
Looking at the housing stock nationally and in the 100 largest U.S. metros from Q1 2012 to Q3 2017, we found that nationally, the number of starter and trade-up homes on the market has decreased substantially, falling 20.4% and 12.5% respectively, during the past year, while inventory of premium homes has fallen just 2.3%.
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