There is no doubt we’re right in the middle of a housing shortage in Michigan, and across the nation. And, as we know from the classic “supply and demand” axiom, less supply and greater demand pushes up prices for real estate. The housing inventory level is at the point now where even sellers who are willing and able to sell their homes are reluctant to do so because they’re not sure where they’re going to buy.
Though strong demand for housing allows sellers to command a higher asking price for their home, this also creates challenges for buying a new home. This leads many homesellers and homebuyers to ask, “Why are there so few homes to buy?” This is a complex problem and the reasons are equally complex. Here are 7 reasons why Michigan’s housing inventory is so low in 2018.