The housing market may be hot, but it's cooler than experts had anticipated. New home sales dropped to an eight-month low in June 2018, and the overall sales pace dropped in July.
Existing home sales went down year-over-year as well in four of the last five months, while supply has been growing. According to Realtor.com, active listings grew 44 percent YoY in San Jose, Calif., 29 percent in Seattle, 19 percent in Portland, 18 percent in San Diego, and 15 percent in Dallas in July, Curbed reports. CoreLogic’s latest index predicts home price appreciation over the next twelve months will stay the same as the previous year.
In some markets, the increase in inventory is more pronounced. With housing inventory shortages rampant across the nation, the summer of 2018 was suppose to be “the most competitive housing market in recorded history,” as realtors braced to field a deluge of offers for every house for sale, allowing sellers to name their price. But as July turns into August, reports suggest that in many markets that rush of offers hasn’t materialized. While home prices have yet to be affected, the apparent weakening of demand suggests that the housing market may finally be cooling down.
