There were about the same number of homes on the market in January of 2013 as there were in January of 2014 but as you can see this year the number of homes for sale translates into a 3.4 month supply where as last year it was a 4.3% supply. Demand for homes is up this year.
We still have home owners who want to sell, but who do not have enough equity. Some sellers who did not have enough equity last year will have enough this year because they will have made mortgage payments and because home values have gone up some.
People who plan to buy a home this year will need to be ready to compete for that perfect home. Bargians will be harder to find as demand remains strong and supply remains weak.
Remember that real estate is local, and these numbers are for St. Paul, Minnesota. Numbers across the Twin Cities metro area are similar, but the numbers in outstate Minnesota and in other states may be different.