However, during June, inventory rose by 0.5% to 1.95 million compared to a year ago. This increase, which was the first one seen in around three years, could perhaps be a sign that the shortage is ending. Economists are waiting to see if this increase will continue going forward or if it was merely a one-time occurrence. An increase in inventory would lead to an increase in buyers.
The median sales price for a previously-owned home increased 5.2% in June to $276,900 compared to last year. In the West, this rate was double, with the median sales price rising 10.2% to $417,400 from the previous year. The West region also saw a drop in sales during June. There needs to be an increase in first-time buyers for the housing market to gain strength.