The spring real estate market of 2021 combined a frenzy of demand with an already low inventory of homes for sale. Never had the competition to buy a home been more fierce. So what has the greater Grand Rapids real estate market been doing since this past spring? Slowly, but surely, inventory has been notching upward. It is still very much a seller's market, but not the same crazy frenzy this spring brought.
The current inventory level at the end of September was 0.8 months. Refer to the chart below to see the changes in inventory levels over the last seven years. Inventory is a measure of whether the market is a buyer or seller's market. This number is determined by figuring how long it would take to sell through the current number of homes on the market at the current rate they are selling, assuming no new houses hit the market. 5-6 months of inventory is considered a balanced market. In March, April, and May this year, we only had 0.5 months of housing inventory, an extreme sellers market.
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