Home sales are rising, so why isn’t inventory going up?

Two facts stand out in today’s housing market: rising home sales and flat/falling inventory.  Nationally, while existing home sales are up 5% year over year in the first half of 2016, housing inventory, as measured by the number of existing homes for sale, was down by 130,000 units year over year in June. 

Since housing is a two-sided market, with most homebuyers already being homeowners and typically needing to sell their existing home before buying another one, why housing inventory is flat-to-down is puzzling in the presence of rising home sales.

Read more about this trend and the reasons for it at: http://www.housingwire.com/blogs/1-rewired/post/37693-home-sales-are-rising-so-why-isnt-inventory-going-up