May Homebuyers Continue to Snatch Up Limited Housing Options

Homebuyers turned to newly built homes in May due to limited options in the resale market, driving sales for builders higher. However, the supply of new builds is shrinking, adding to the historically bad inventory challenges in the housing market. Affordability remains a problem, with only 45.6% of new and existing homes sold between January and March being affordable to families earning $96,300. Ongoing labor shortages and a shortage of distribution transformers could threaten to delay progress and keep affordability low heading into the summer.