Zillow – Ohio homebuyers starting to see relief from high-demand real estate market as housing inventory rises
CLEVELAND — More house listings are finally popping up nationwide. Economists with Zillow tell News 5 that inventory has risen 3% for the past two months and we’re starting to see the same upwards trend in Cleveland.
According to Zillow economist Nancy Wu, inventory was up 8.8% in June.
“Building on top of an eight 8.1% increase from April to May. So essentially, buyers are finally starting to see more inventory pop up in their searches,” she said.
It seems rent recovery and overall help was the cause for the boost. Yet, homes are still flying off the market. Local real estate agents have told us on an average home in our region stays up for just 42 days. So, new inventory does the market well.
“If we look at year over year from even just last year, we are up about 17 percent with new listings. So that is great news,” Angela Thompson with Monument Real Estate
But how long until home shortages are a thing of the past?
Well, we’re told more inventory on the supply side will help with home price appreciation. Since 1996, Zillow data shows Cleveland home prices have gone up 17% year over year. Not to mention, record-low mortgage rates continue driving up demand.
“As these tactics change over time, we will see prices appreciation slow down a bit. But right now, the signs of more and more inventory coming onto the market each month has been a hopeful indicator,” Wu explained.
More Zillow data shows, “people who moved into Cleveland, moved into zip codes where home values were almost $200,000 lower” compared to where they moved from. Wu explained this means “people who are moving to Cleveland had the most money in their pocket to buy a home in Cleveland from the homes that they sold and their last neighborhood.”