The housing market is experiencing seismic shifts as new home supply surges to levels not seen since the 2008 financial crisis. With home sales volumes plummeting due to overpricing and states like Florida and Texas witnessing the end of their housing booms, signs of a market downturn are becoming increasingly evident. As inventory swells and demand wanes, the stage is set for a summer marked by price cuts and a reshaping of the real estate landscape.
- New home supply reaches highest level since 2008, signaling a significant increase in available inventory.
- Home sales volumes experiencing historic decline attributed to overpriced homes, with 2023 and 2024 marked as particularly challenging years.
- Housing boom in Florida and Texas appears to be ending, with both states ranking in the top 10 for increased supply/listings year-over-year.
- Anticipation of price cuts as high inventory levels could lead to a market shift during the summer months.
Sources:
Not only is supply of new homes the highest since 2008, it's the highest outside of 2005-2008… ever t.co/IY1zicEJG4 pic.twitter.com/rjQlCZ5fvX
— Marcel (@artimidore) April 23, 2024
Home sales volumes are getting CRUSHED at a historic level due to 40% overpriced homes
2023 was the worst year since 1995
2024 is worse pic.twitter.com/RY6cMOdHSM— Darth Powell 🦈🇺🇲🇺🇦🇵🇱🇫🇮 (@GRomePow) April 23, 2024
The Housing Boom in Florida and Texas is officially over.
with both states ranking in the Top 10 for biggest growth in supply/listings YoY.
Florida at #1. Texas at #6.
All of that inventory is going to turn into lots of price cuts as the housing market turns over into the… pic.twitter.com/9HVZOqVotW
— Nick Gerli (@nickgerli1) April 23, 2024
2) This inventory surge gets even more intense when you focus on specific metros/counties.
For instance, in San Antonio, inventory has now breached the highest level in at least 7 years.
Lots of builders. And investors selling. pic.twitter.com/3utersORPE
— Nick Gerli (@nickgerli1) April 23, 2024