Nationally, available housing inventory's latest year-to-year drop of 12.2% is the steepest since 2013, but the supply of homes for sale is actually increasing in a handful of markets.
"Despite strong buyer demand, sales are sputtering due to low inventory," said Redfin Chief Economist Nela Richardson in a recent report by the online real estate company. "The last time we saw a substantial increase in the number of homes for sale, Donald Trump was a candidate in a Republican field of 11."
But while inventory has contracted for 25 straight months in the United States as a whole, there are exceptions to the rule in parts of the South and Midwest.
In October, inventory grew year-over-year in eight of 74 metropolitan areas Redfin tracked over the last 12 months.
In contrast to hot home-sales markets like San Jose, Calif., where inventory plunged nearly 52% in the year-over-year and the median home price is over $1 million, houses available for sale in these eight regions increased by nearly 3% to 13% and have prices closer the U.S. median of $288,000.
There are anywhere from 3,000 to 14,000 homes for sale in each of these eight markets, and in most cases they tend to have sales that have slowed by 1% to 10% year-over-year. However, prices are up year-to-year by 1% to 10% in these areas.
Half of the eight regions are seeing month-to-month declines in inventory ranging from a fraction of a percent to almost 11%, but the other half are experiencing month-over-month gains in the supply of available homes for sale ranging from 4% to 11%.
No. 8: Allentown, Pa.
Total Inventory: 3,455 (2.50%) Homes Sold: 711 (-9.80%) Median Sales Price: $186,000 (9.40%)
No. 7: Nashville, Tenn.
Total Inventory: 9,664 (2.70%) Homes Sold: 3,050 (-6.00%) Median Sales Price: $268,000 (7.20%)
No. 6: Dallas, Texas
Total Inventory: 13,147 (4.10%) Homes Sold: 4,658 (-3.00%) Median Sales Price: $279,000 (8.20%)
No. 5: St. Louis, Mo.
Total Inventory: 13,868 (4.80%) Homes Sold: 3,305 (-3.90%) Median Sales Price: $168,000 (1.80%)
No. 4: New Orleans, La.
Total Inventory: 6,155 (7.50%) Homes Sold: 1,004 (-6.30%) Median Sales Price: $202,200 (12.30%)
No. 3: Austin, Texas
Total Inventory: 7,501 (8.80%) Homes Sold: 2,329 (-0.90%) Median Sales Price: $290,000 (3.90%)
No. 2: Baton Rouge, La.
Total Inventory: 3,346 (12.90%) Homes Sold: 807 (-20.30%) Median Sales Price: $205,000 (8.00%)
No. 1: Raleigh, N.C.
Total Inventory: 7,771 (16.10%) Homes Sold: 2,022 (2.00%) Median Sales Price: $265,000 (6.90%)