In the wake of yet another steep mortgage rate hike enacted by the Federal Reserve, the nation’s hottest housing markets are cooling off and for-sale inventories are climbing. Located southwest of Chicago, Joliet, Illinois recorded a 188.3% year-over-year gain in available inventory from 163 homes for sale in May 2021 to 470 homes in May 2022, while the number of home sales has leveled off. In May 2021, the typical Joliet home lasted on the market a total of 5 days, but just one year later, that time frame has grown by 760% to a median of 43 days, Forbes reports.
California markets have also seen significant growth in available inventory, with Sacramento suburbs like Roseville and Elk Grove posting year-over-year growth totaling 132.7% and 112.3%, respectively.
From a for-sale inventory of only 81 homes in May 2021, Elk Grove’s housing inventory grew by 112.3% over the last year, reaching 172 homes available in May 2022. While an available inventory of 172 homes is less than May 2020’s 195 homes or May 2019’s 309 homes, the year-over-year increase in Elk Grove’s inventory is striking. The growth in home prices has also slowed in the Elk Grove housing market. From May 2020, when the median sale price was $440,000, it increased by 36.4% in a single year, reaching $600,000 in May 2021.
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