As buyers head into the spring home buying season, they are finding that available inventories remain historically low.
In its April market outlook, Freddie Mac offers two ideas on why more sellers might not be listing their homes right now.
- First, some sellers may be hesitant to list their home because the tight inventory could make it harder for them to find their own move-up property.
- And homeowners who purchased a home or refinanced when mortgage rates were at record lows may be reluctant to buy again at higher rates. Read more from Freddie Mac.
“Tight housing inventory has been an important feature of the housing market at least since 2016. For-sale housing inventory, especially of starter homes, is currently at its lowest level in over ten years. If inventory continues to remain tight, home sales will likely decline from their 2016 levels. As we enter the spring home buying season, all eyes are on housing inventory and whether or not it will meet the high demand,” said Freddie Mac Chief Economist Sean Becketti.
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