Dear agents,
I'm going to touch on responses to the last OpenHouse newsletter regarding race in real estate.
But first, let's peer into a huge topic right now: inventory. It's low!
Record low, according to the National Association Realtors, which in a study earlier this year, said that the number of units available for sale in the U.S. fell to just over a million. The supply dropped 26% in just one year.
The lack of homes for sale is due largely to high demand. But it's reached a point in some locales where the inventory is so low that agents are hurting.
One extreme situation is in Boise, Idaho.
Steven Caporale of ACCEL Realty reports that in a zip code he works, there were 370 units available for sale, according to the local Multiple Listings Service, in late February. That's down a million gazillion percent (technically, 946%) from 3,500 units for sale last year.
"Boise is nice," Caporale said. "But I'm not sure it's gotten that much nicer."
Caporale worries that the price appreciation (Idaho is no. 1 in home appreciation in the country) is squeezing out longtime Boise residents. To be sure, the agent said, those homeowners will not be placing their abode on the market soon.
I'd like to know more about what is going on with inventory where you are. How much lower (or not lower) is inventory where you work compared to normal?
And if it is low, how concerned are you about it? What (if anything) do you think should be done about it?
Speaking of what should be done about it, some agents were skeptical that much needed to change regarding race.
"It is what it is," said one agent. "If there are real barriers, fine, let's fix them, but I think it's wrong to start counting people by race."
Another agent pointed out that I omitted the percentage of NAR member agents who identify as Asian. Good point. There are 5% who do, according to the 2017 study. Also, 1% of agents identify as Inuit or American Indian.
Many of you, quite helpfully, discussed racial barriers in real estate by describing how you got started in the profession. More stories regarding that, and what barriers to entry may exist, would be much appreciated.
My email is mblake@housingwire.com. As always, you can message anonymously.
Talk to you later in the week,
Matthew Blake
Senior Real Estate Reporter
EmoticonEmoticon