Many times there’s an inverse relationship between the median sales price in a city and the amount of homes for sale. I’ve rarely seen it so clearly illustrated as in this current graph showing what’s been going on with single family homes in Arlington MA.
The black line shows the median sales prices of single family homes in Arlington and the orange line shows the number of single family homes for sale. We normally see the number of homes for sale go down in the summer and winter. Last year the level of inventory decreased in the summer but didn’t start increasing until this spring. Even through we are seeing more single family homes coming up for sale in Arlington, we’re still below the level of inventory from last spring. This has created a very hot real estate market in Arlington. Houses that are priced properly are selling very quickly and many homes have multiple offers and bidding wars.