After posting some home sales statistics for September I thought I would take a quick look at the housing supply. During a seller’s market, there is less than a six-month supply of houses on the market. Supply measures the absorption rate.
Right now there is a 1.6 month supply of houses on the market in the Twin Cities Metro area and a 1.5 month supply of houses on the market in St. Paul, which is higher than the 1.0 month supply we saw the last spring and slightly higher than last October’s absorption rate.
In other words, the metro area is experiencing a strong seller’s market this fall.