July 26th - Even Steep Discounts Aren’t Reviving The Sale Of Luxury Homes

Pending home sales dipped in January 2017, a state of affairs which Terry attributes to an imbalance between supply and demand in the housing market.  Housing inventory is less than 6 months, which means, in theory, that if no new sellers added their homes to this inventory, all available supply would be sold in less than 6 months.  This sub-6 month supply, incidentally, is the criteria for using the term “seller’s market,” and that is certainly the case in locations across the country today. Terry notes that roughly only 20% of homes that hit the market sell in a timely fashion, and the remainder – which fail to sell because they’re too expensive or unattractive for other reasons – constitute the bulk of the unsold inventory.