June housing supply rebounds at record speed

“While we anticipate that more inventory will eventually cool the feverish pace of competition, the typical buyer has yet to see meaningful relief from quickly selling homes and record-high asking prices,” Hale said.

The median listing price hit its latest record of $450,000, up 16.9% from last year, though the gain is slightly smaller than last month’s (17.6%). Hale said that the increasing proportion of larger, more expensive homes in new listings is one reason overall asking prices continue to soar despite cooling demand. In June, homes with at least 1,750 square feet accounted for 54% of new listings.

Home movement data likewise suggested a shift in the mix of home shoppers and potential increase in move-up buyers. The typical US home spent 32 days on the market in June – a full month faster than usual pre-pandemic June timing, but slightly slower than last May’s record low. Among June’s active inventory, those with 3,000 to 6,000 square feet sold faster by more than a week year-over-year.

“[A] deeper dive into June’s inventory gains by square footage reveals potential opportunities for move-up buyers, as newly listed homes skewed larger. In other words, this first wave of supply improvements may be particularly opportune for summer sellers looking to upgrade from their starter homes, which could mean more equity to put towards purchasing a bigger property,” Hale said.