Here’s What Rising Inventory Really Means

Is the Market Crashing? Not Even Close. Here’s What Rising Inventory Really Means

You may have seen the headlines: "Housing Inventory Hits Recent High." For some, that sparks flashbacks to 2008 and a whole lot of worry. But let’s pause for a moment and look at what’s really going on—because the reality is far less dramatic, and far more encouraging.

From the Laura Smith Real Estate Team, here’s what rising inventory actually means for today’s market—and why it’s not the red flag some fear it is.

📈 What’s Up With Inventory?

According to the latest data from Realtor.com, housing inventory just hit its highest point since 2020. That might sound alarming until you consider this key point: we’re still not back to pre-pandemic levels.

That’s right—while there are more homes on the market than we’ve seen in recent years, we’re still working with fewer listings than what was typical before 2020. So yes, inventory is rising, but it’s rising from historically low levels.

This isn’t a flood. It’s a correction.

🧠 Why This Isn’t 2008 All Over Again

We get it—more homes for sale sounds a little too familiar. But let’s set the record straight: today’s housing market is not headed for a crash. Here’s why:

Back in 2008, we saw a surplus of homes due to overbuilding and loose lending practices. Today, it’s a totally different story. For over a decade, new home construction hasn’t kept up with the number of people forming households and needing places to live.

In other words, we’re not swimming in excess—we’re digging our way out of a housing shortage that’s been building for years.

The data shows that the U.S. is short by millions of homes. Realtor.com estimates that, at our current pace of building, it would take 7.5 years to close that gap. That means we actually need more inventory just to keep up with demand.

💡 What This Means for Buyers and Sellers

If you're a buyer, this uptick in inventory is good news—it means more options and possibly less competition. If you’re a seller, don’t panic. Homes are still in demand, especially when priced right and marketed well. Rising inventory doesn’t mean the market is turning against you—it just means it’s normalizing.

✔️ The Bottom Line from the Laura Smith Real Estate Team

Let’s not let clickbait headlines cloud reality. Rising inventory is not a sign of a crash—it’s a sign of a more balanced and healthy market.

So whether you’re buying your first home, upsizing, or thinking about selling, we’re here to guide you through the facts, not the fear.

Have questions? Let’s talk. We’d love to walk you through the local market and help you make confident, informed decisions—because that’s what we’re here for.