Home Re-listings Are Rocketing But Housing Supply Is Still Low

TL;DR

Sellers who quit in 2024 are returning, but total housing inventory remains 17% below pre-pandemic levels.

Key Points

• 1.Nearly 45,000 delisted homes returned to market in January 2025, a record 3.6% of all listed homes — up from the ~85,000 sellers who pulled listings in September 2024 (a 28% year-over-year spike) due to high rates, low offers, and economic uncertainty.
• 2.National inventory is 8% higher than a year ago, but that gap has been shrinking for nine straight months, and supply is unevenly split — the South and West have more homes at lower price points, while the Northeast and Midwest remain severely undersupplied.
• 3.Mortgage rates are highly volatile: lower than a year ago but rising again due to renewed inflation fears and Middle East tensions, dashing hopes for the significant rate drops buyers had been expecting.