As the housing market continues to fluctuate, the scarcity of homes available on the market continues to be a challenge for homebuyers. This trend was particularly pronounced in July, with 6.4% fewer listings on Realtor.com® compared to the prior year. This creates a unique scenario where buyer demand either outpaces listing activity or limited new listings deplete active inventory.

The lack of homes on the market poses challenges for buyers, intensifying competition and raising prices. Sellers, too, face a conundrum: selling often means entering the competitive buying pool in a market with few options. Moreover, reluctance to commit to higher mortgage rates further complicates the situation.

With this being said, amidst this ongoing shortage, certain markets are bucking the trend and witnessing an increase in homes hitting the market. Out of the 100 largest metropolitan areas, 31 saw a rise in homes listed for sale in July compared to the previous year.

The areas experiencing the most significant drops in inventory are often those that gained popularity during the pandemic. As prices soared due to demand, inventory dropped. In contrast, metros with increased listings tend to be in more affordable regions, experiencing a slower price increase during the pandemic.

Below are the top 10 cities with the largest increases and decreases in property listings:

Top 10 Cities with the Largest Increase in Listings:

Cape Coral, FL

El Paso, TX

New Orleans, LA

Memphis, TN

Omaha, NE

Wichita, KS

Tulsa, OK

Augusta, GA

Little Rock, AR

Des Moines, IA

Top 10 Cities with the Largest Decrease in Listings:

Stockton, CA

Phoenix, AZ

Seattle, WA

Worcester, MA

Bridgeport, CT

Boise, ID

Providence, RI

Washington, DC

Akron, OH

Chicago, IL

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