By Bill McBride | Calculated Risk
Housing inventory bottomed in early 2013. However, after slight increases in 2013 and 2014, inventory was down slightly year-over-year in 2015 (through November). Will inventory increase or decrease in 2016?
Tracking housing inventory is very helpful in understanding the housing market. The plunge in inventory in 2011 helped me call the bottom for house prices in early 2012 (The Housing Bottom is Here). And the increase in inventory in late 2005 (see first graph below) helped me call the top for house prices in 2006.