Frequent readers of this blog are keenly aware of the current lack of for-sale housing inventory in the Reno-Sparks market. The most-recent numbers I posted indicated that our market has only an approximate five-week supply of available for-sale houses.
However, a recent RealtyTrac report indicates that additional inventory may be forthcoming. In fact, both Sparks and Reno were listed as markets having the most inventory coming down the pipeline (See: FIRST QUARTER INCREASE IN BUILDING PERMITS POSITIONED TO FILL VOID IN HOUSING MARKET LEFT BY DECLINING FORECLOSURES) This determination was made by analyzing single family building permits as well as foreclosure starts at the national, state and city level.
Out of all the markets analyzed across the U.S., Sparks, Nev and Reno, Nev. took the 5th and 6th spots nationally for “most for-sale inventory coming”. [Click on the link above to see a chart.] From the report:
Cities where both single family building permits and foreclosure starts increased at least 10 percent from a year ago in the first quarter included Las Vegas, Seattle, Raleigh, N.C., Reno, Nevada, and Boca Raton, Fla.
The question is when can the local market expect to see this increase in housing stock?[Update May 17, 2013] In a related story the Reno Gazette Journal reports that the number of single-family home permits pulled during the first quarter are up 133 percent in Reno and up 130 percent in Sparks, over the same period last year. The story also states that the executive director of the Builders Association of Northern Nevada expects about 1,000 new homes to be built this year. See the RGJ story New home building permits rise in Reno-Sparks.