When it comes to the level of Charlotte NC real estate inventory (or months of real estate supply) what does that really mean?
The real estate inventory levels are a real estate market indicator. A measure of how the supply (available homes for sale) compares to the recent demand (recently sold homes).
When supply is Above recent demand, the real estate inventory level is Elevated
When supply is Below recent demand, the real estate inventory level is Lowered
In general about 6 months supply of Charlotte NC homes for sale is considered a “balanced” real estate inventory with buyer and seller activity being fairly equal.
Charlotte NC real estate inventory OVER 6 months is considered weighted in favor of home buyers since supply is outpacing recent demand, while LESS than a 6 month supply of homes for sale indicates a diminished inventory of homes for sale.
Ok, so whether it’s for an area, price range or even a Charlotte NC neighborhood how does real estate inventory impact the home buying or home selling process?
For home buyers, the level of Charlotte NC real estate inventory (from general area to neighborhood level and even price range) = amount of options to consider. Higher real estate inventory means more available homes to consider.
For home sellers, the real estate inventory level = competition. Higher real estate inventory means more competing Charlotte NC homes for sale.
One important note when it comes to real estate inventory in Charlotte NC – it is NOT a measure of the number of available homes for sale. It’s a measure of how seller supply and buyer demand relate to each other.
As an example, there could be 1 available real estate listing in a given area/price range/neighborhood, and if there’s been 0 recently sold activity that real estate inventory is INFINITE since there’s been no recent demand.
Real estate inventory in Charlotte NC does shift and change over time. Right now as we head into spring it’s likely that many areas will experience an increase in seller supply which may very well lead to elevated real estate inventory for home buyers to consider.
Copyright©2010 by Diane McDermott, All Rights Reserved, “What Does Real Estate “Inventory” Really Mean for Home Buyers and Sellers?”