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What the May 2025 inventory comparison can teach a buyer

More homes for sale than last year can coexist with fewer homes than before the pandemic. That is a useful comparison, but neither number tells you what one house will be worth next year.

By Eric Hamilton · Published October 6, 2026

Originally uploaded June 6, 2025 · 8:16 · Watch on YouTube

Written companion added October 6, 2026. Adapted from Eric’s video captions with source checks; not a word for word transcript. The recording retains its original date.

Keep the two comparison periods separate

The recording compares May 2025 with May 2024 and, separately, May 2019. Those questions have different answers: whether supply is growing recently and whether it has recovered to an earlier level. Realtor.com's June 5, 2025 release confirmed national active listings had passed one million while the recovery remained uneven across regions. Read the time period and geography before deciding that an inventory headline applies to your search.

Use the market where you will actually buy

Eric contrasts Illinois with Florida to illustrate how national averages can hide local conditions. Take that lesson one step further: ask for current evidence for your town, property type and price range. A condo market and nearby single-family market can offer different choices. Compare active competitors, recent completed sales, time on market and price reductions. Ask your agent which homes are realistic substitutes for the property you are considering.

Let inventory inform an offer, not promise appreciation

Limited choices can affect competition, but inventory alone does not guarantee rising prices. Affordability, buyer demand, employment and the property's condition also matter. Use a flat-value scenario and a declining-value scenario when deciding whether a purchase remains manageable. If the plan only works because a chart predicts appreciation in six months, reconsider the price, cash reserves or timing. More inventory can improve choice without making every listing a bargain.

Does inventory growth mean home prices must fall?

No. It describes the supply measure in that report. Price outcomes also depend on demand and the particular market.

Can I use the video's Illinois percentage for an offer today?

Use it as historical context. Get current local data for the specific area and type of home before choosing your offer.

Sources and scope

The video was published June 6, 2025 and discusses May 2025 data. Its charts and state percentages are historical, not an October 2026 market report. Data providers can also revise earlier series, so avoid mixing incompatible downloads.

  1. Realtor.com: May 2025 inventory report and methodology Accessed October 6, 2026
  2. CFPB: Home value risk and testing different purchase scenarios Accessed October 6, 2026

General education, not a loan quote, approval or an individual recommendation. Ask the appropriate professional about your situation.

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