The graph above displays an important measure of the strength of the local real estate market. The months supply of homes is calculated by dividing the number of homes on the market by the number of homes sold in the same month. A number greater than 6.0 indicates that buyers have the upper hand. A number lower than 4.0 favors sellers, and a number less than 1.5 is indicative of a “hot” market. The buyers market of the early 1990's is apparent, as is the sellers market of the early 2000's and our "bump in the road" 2006 to 2008.
Copyright © David Rathgeber 2012 All rights reserved.
