Over the last few months, virtually all reports (local, state & national) that I have seen show a reduction in inventory. More importantly, as I enter new clients into the Multiple Listing Service (MLS) to receive property listings matching their search criteria via e-mail, I am surprised at how few properties are available. (I just entered a search that would have generated 50+ matches a year ago, and I received 17!)
As always, the most important issue is how this trend could affect you, specifically, in your own real estate transactions.
Given the lack of inventory, if your home has a feature that is a drawback for you, personally, but it's not a generic defect, now is a great time to place that home on the market. In the alternative, if your property has one or more selling features that you don't care about, for whatever reason, now is an ideal time to sell it and buy a home that doesn't have those features.
For example, you may own a legitimate, functional three-bedroom home which flows nicely, but really only need two bedrooms plus an office (much more difficult to sell). If you see a three-bedroom home in which you need to go through one bedroom in order to access another, this may fit your needs perfectly. If the home has been sitting on the market, you can likely get it for a good price. And with so little inventory on the market, your three-bedroom home should sell quickly if presented properly and priced right. One caveat, however: if you buy a home that isn't easy to sell, unless you can rectify the defect, you will encounter similar challenges when you go to sell that home in the future.
Every situation is unique, so if you have any questions, feel free as always to call (978-423-9309) or e-mail (firstname.lastname@example.org) me at any time to discuss your options.