Home Listings Slide: Good News, Sellers?
The number of homes listed for sale in 26 major metropolitan areas dropped an average 3.3 percent in October, the first month-over-month drop since January, according to ZipRealty Inc. The data comes from single-family homes, condos and townhouses on local multiple-listings services (MLS).
Typically, analysts would expect to see home listings increase during October, as most homeowners make one final sales pitch before the winter home buying lull sets in. Last October, for instance, housing inventory rose 13 percent in the 26 markets covered by ZipRealty.
So is this good news for homeowners struggling to sell?
Not likely. The drop in home listings could merely reflect a larger percentage of homeowners who've decided to call off their sales efforts until prospects improve.
The drop-off may also be a lingering effect of the foreclosure freeze, as banks continue to investigate claims of the so-called "robo-signing" of foreclosure documents. This is certainly the case in Florida, which has one of the highest rates of foreclosure in the nation. (See a metro area breakdown of housing inventory at the Wall Street Journal.)
For more on home prices and related topics see these AOL Real Estateguides:
- How to Price a Home to Sell Fast
- Home Appraisals for Sellers
- How to Sell Your Home in a Short Sale
- How to Buy Foreclosures
More on AOL Real Estate:
Find out how to calculate mortgage payments.
Find homes for sale in your area.
Find foreclosures in your area.
Get property tax help from our experts.