Housing inventory across the United States has increased sharply, with ten states experiencing notable year-over-year growth, as home prices remain significantly higher than pre-pandemic levels.
At a Glance
- National housing inventory rose 24.8% year-over-year in July 2025
- Nevada saw the largest increase at 52.9%, followed by Maryland at 48.2%
- Median national list price stands at $439,450, up 37.6% since June 2019
- Price per square foot has risen 52.3% in the same period
- About 20.6% of listings reported price reductions
Inventory Trends by State
The U.S. housing market has experienced a 24.8% annual increase in active listings, reaching levels last recorded early in the pandemic. Nevada leads with a 52.9% increase, followed by Maryland at 48.2% and North Carolina at 40.7%. California, while not leading in percentage growth, reported the highest absolute number of listings at 77,994, representing a 36.5% increase from the previous year.
Watch now: Housing Inventory Trends July 2025 · YouTube
Homes are generally taking longer to sell compared to recent years, with median selling times surpassing pre-2020 norms in several markets. About one in five listings nationwide now sees a price reduction before sale.
Mortgage Rates and Affordability
Mortgage rates are in the mid-6% range, reflecting Federal Reserve interest rate adjustments aimed at addressing inflation. National median list prices are $439,450, marking a 37.6% increase since June 2019. Price per square foot has increased 52.3% in the same timeframe. These figures have led to reduced affordability for many households earning median incomes, and in some regions, potential buyers have delayed purchases as a result.
Role of Investor Activity
Institutional investor participation, which increased during the pandemic period, has declined in several markets, including Nevada, Colorado, and Florida. This change follows a period of rapid price growth partly influenced by investor demand. Real estate professionals in affected areas report slower transaction cycles, with some adjusting their business models to adapt to market conditions.
Regional Economic Indicators
The states showing the fastest inventory growth—Nevada, Maryland, North Carolina, California, Arizona, Colorado, South Dakota, Virginia, Washington, and New Mexico—represent varied regional economies. Despite the recent increases, overall inventory nationwide remains 13.4% below pre-pandemic levels. Analysts note that if trends continue, conditions may become more favorable for buyers in late 2025, though outcomes will depend on both interest rate movements and broader economic trends.
Sources
