Home prices are increasing, and one way to track that data, according to Fast Company, is by monitoring active listings and months of supply. Markets with active inventory that's back to pre-pandemic levels have seen weaker price growth in the past 24 months, while those with significantly lower inventory have seen larger price increases. Nationally, active listings have increased by 36.7% from June 2023 to June 2024 but remain 31.1% below June 2019 levels. If the current growth rate continues, active inventory could reach just over 1 million by June 2025 and 1.29 million by June 2026.
When assessing home price momentum, it’s important to monitor active listings and months of supply. If active listings start to increase rapidly as homes remain on the market for longer periods, it may indicate potential future pricing weakness. Conversely, a rapid decline in active listings could suggest a market that is heating up.
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