A housing shortage is causing difficulties for REALTORS® in finding suitable listings for their clients. The lack of inventory, which reached its lowest level since 1999 in 2022, is making it challenging for agents to serve their clients effectively. A recent NAR report indicates that 30% of the over 1.5 million REALTORS® in the United States are struggling to find appropriate housing options due to the limited supply.
The housing market is currently experiencing high demand, with homes selling rapidly. In May, 74% of properties sold in less than a month, and the average time on the market was only 18 days. Each listing received an average of 3.3 offers during this period. The shortage of available properties is compounded by potential sellers hesitating to trade their existing low mortgage rates for higher rates prevailing in the market, creating a “game of chicken” between buyers and sellers.
The housing shortfall is particularly affecting middle-income buyers, as the shortage is most acute in price points they can afford. A joint study by NAR and REALTOR.com reveals a shortage of around 320,000 listings in price points up to $256,000. Despite these challenges, REALTORS® are remaining busy and facing increasing competition for listings. NAR’s membership has grown to 1.58 million at the end of 2022, with each member having an average of 12 transactions and a sales volume of $3.4 million in 2022.
Visit NAR’s website for more information: https://www.nar.realtor/magazine/real-estate-news/housing-shortage-costs-deals-for-a-third-of-realtors