A look at the recent acceleration in national housing market inventory

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ResiClub has resumed its regular updates following a brief hiatus earlier this month, during which the organization hosted ResiDay 2026 in New York City last Friday. This inventory update, initially planned for last week, is now being shared.

According to the latest monthly inventory report, the national housing inventory has increased by 7.6% year-over-year, comparing figures from October 31, 2025, to October 31, 2026. This marks the fourth consecutive month of accelerated year-over-year growth in the national active inventory for sale, which was at just 1.9% in June. Although this year's inventory growth is lower than the 15.3% increase recorded a year prior, the upward trend in active listings indicates a softening housing market, granting buyers more leverage in numerous regions over the past year.

Recent trends in long-term yields and mortgage rates, which have hovered near two-year highs, have contributed to this national market softening, gaining further momentum. Currently, national inventory levels are just slightly below pre-pandemic figures from October 2019, sitting at a mere 2.1% lower.

The inventory figures for the past several years are as follows: In October 2017, the inventory was 1,287,322; in October 2018, it rose to 1,304,682; in October 2019, it dropped to 1,208,311; in October 2020, it fell significantly to 734,040 amid the pandemic housing boom; in October 2021, it further decreased to 565,707; in October 2022, it increased to 752,741; in October 2023, it was at 738,082; in October 2024, it rose to 953,814; in October 2025, it reached 1,100,001; and finally, in October 2026, it was recorded at 1,183,520. Notably, the U.S. active inventory increased by 146,187 homes for sale between October 2024 and October 2025, followed by a rise of 83,519 homes from October 2025 to October 2026. If this trend persists, projections suggest that the active inventory could reach approximately 1,267,039 by October 2027, according to the Realtor.com series.

In the coming days, ResiClub members at paid tiers will receive a detailed analysis of inventory changes across more than 800 metro areas, 3,000 counties, and 25,000 ZIP codes. This month's report is slightly delayed due to ResiDay. The ResiClub PRO details are available for interested parties.

The year-over-year changes in active inventory by state reveal that while most markets are experiencing a rise in housing inventory, the growth rate is slower compared to last year. For instance, Florida, which has faced challenges in its housing market recently, has seen a slight decline in active inventory, down by 10% year-over-year. However, as inventory continues to increase, it is anticipated that more states will report year-over-year growth rates that surpass those of the previous year.

Despite the overall increase in active housing inventory, some markets remain relatively tight, especially in areas of the Midwest and Northeast, where home sellers have historically held more power. Conversely, inventory levels in many regions of the Sun Belt and Mountain West have returned to or exceeded pre-pandemic levels. Cities such as Punta Gorda and Austin, which experienced significant price increases during the pandemic, now face challenges as demand has softened and mortgage rates have risen. Builders in these areas are often compelled to offer price reductions or incentives to maintain sales, which in turn affects the resale market, as some buyers opt for new homes instead of existing ones.

By the end of October 2026, 18 states, along with the District of Columbia, had active inventory levels surpassing those from the pre-pandemic period of 2018-2019. These states include Alabama, Arizona, Arkansas, Colorado, Florida, Georgia, Hawaii, Idaho, Nebraska, Nevada, North Carolina, Oklahoma, Oregon, South Carolina, Tennessee, Texas, Utah, and Washington.

To provide a clearer picture of inventory recovery, ResiClub has adjusted its comparisons to account for changes in household counts over time, calculating active inventory per 1,000 households. This adjustment, along with averaging data from the same month in 2018 and 2019, establishes a more accurate pre-pandemic baseline.