Reblogged from Trulia
Inventory continues to drop for all homebuyers, but there are signs demand is waning for the few starter homes out there.
SAN FRANCISCO, June 21, 2016 /PRNewswire/ — Trulia, a leading destination for homebuyers and renters, today released its latest quarterly edition of the Trulia® Inventory and Price Watch. This quarter’s report offers buyers and sellers deeper insight into the change in supply and affordability of homes over the past year, within three different segments: starter homes, trade-up homes, and premium homes. Based on the for-sale homes listed on Trulia, this report calculates housing inventory within each segment nationally and in the 100 largest U.S. metros, from April 1, 2015 to April 1, 2016.
Starter and Trade-Up Home Inventory Show Double Digit Dips, while Premium Inventory Remains Flat The spring house-hunting season brought very little relief for homebuyers, as the national inventory of all homes has dropped by about 6% over the past year. The number of starter and trade-up homes on the market nationwide has dropped by 12.3% and 11.5%, respectively. Meanwhile, decreased inventory continues to take a toll on the affordability of all home segments. Buyers will need to set aside between 0.5% and 1.3% more of their income towards a home purchase than they did last year. However, starter affordability has been hit the hardest, and as a result, starter homebuyers need to dedicate 1.3% more of their monthly income to buy a starter home.
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