logo
episode-header-image
Mar 2025
39m 3s

Housing Market Shift: Inventory Catapult...

BIGGERPOCKETS
About this episode

Home prices are falling fast in some prime real estate markets across the country while others remain stubbornly stuck. What’s the defining factor between a stable housing market and one where sellers are actively cutting prices? Housing inventory! This metric defined the 2020 - 2022 run-up in home prices, but the rubber band of demand is snapping back as buyer power grows, housing inventory rises, and investors get even better buying opportunities.

Remember when people said, “I’ll buy when prices drop”? Well, now might be the time.

ResiClub’s Lance Lambert joins us to provide a holistic view of housing inventory, prices, demand, and emerging opportunities. Lance walks through the most up-to-date data on where housing inventory is rising fast, where prices are quickly declining, and which markets are holding on as sellers remain in control.

We’ll also talk about why homebuilding costs are about to JUMP and the reason Warren Buffett sold his homebuilding stocks shortly after buying them. Will construction slow down, limiting new inventory and leading us back into ultra-low supply? If so, this could push home prices higher, creating a prime opportunity for real estate investors.


In This Episode We Cover:

Is spiking inventory a worrying sign for the housing market, or are we merely normalizing?

What to look at in your housing market to forecast whether prices will rise or fall 

Why are homebuilding costs about to JUMP, and could this lead to even more inventory problems?

The new housing trend: Older renters, but could this mean more demand for rentals?

And So Much More!


Links from the Show

Join BiggerPockets for FREE

Let Us Know What You Thought of the Show!

Ask Your Question on the BiggerPockets Forums

BiggerPockets YouTube

Apply to Be a BiggerPockets Real Estate Guest

ResiClub: The cost breakdown for constructing a single-family home in 2024

ResiClub: Did Warren Buffett see this coming? Homebuilder margins face pressure in 2025

ResiClub: The vanishing young homebuyer: Median first-time homebuyer age jumps from 28 in 1991 to 38 in 2024

Invest in Private Market Real Estate with the Fundrise Flagship Fund

Grab Dave’s Book, “Real Estate by the Numbers”

Sign Up for the BiggerPockets Real Estate Newsletter

Find an Investor-Friendly Agent in Your Area

Inventory Is Key to a Stable Real Estate Market—Will It Recover?

Join Lance’s Newsletter

Connect with Dave




Check out more resources from this show on BiggerPockets.com and https://www.biggerpockets.com/blog/real-estate-1101

Interested in learning more about today’s sponsors or becoming a BiggerPockets partner yourself? Email advertise@biggerpockets.com.

Learn more about your ad choices. Visit megaphone.fm/adchoices

Up next
Yesterday
2025 Long-Distance Investing Blueprint (Listen Before Buying)
Can’t make the numbers work in your local market? No worries—long-distance real estate investing is the natural next step. We’ve done it before, many times, and made the beginner mistakes, so you don’t have to. Now, we’re gearing up to do it again. Dave and Henry are heading out ... Show More
41m 2s
Jul 7
Replacing His Income with Rentals (in 3 Years!) by “Recycling” Money
In just three years, this investor scaled up to making over $100,000 per year thanks to real estate. He did it all starting in 2022 when interest rates were beginning to rise, the market was turning, and many investors decided to sit on their hands. Thanks to a strategy that allo ... Show More
40m 2s
Jul 4
How to Buy Real Estate Without Banks (Private Money Lending)
Can’t (or don’t want to) get a bank loan? We have another option for funding your real estate investments: private money lending! If your DTI (debt-to-income) is too high, you’ve maxed out how many mortgages you can get, or you need quick cash to finance a renovation, house flip, ... Show More
40m 14s
Recommended Episodes
Jul 2024
233: Housing Market “Stuck” Until 2026 as Insurance Prices Rise, Rents Slow
See Dave, Henry, James, and Kathy at BPCon2024 in Cancún, Mexico! Grab your ticket here! The housing market is “stuck” and may stay that way for the next two years. With low inventory, high mortgage rates, stunted demand, and high rents, it seems like there’s nowhere to go. If yo ... Show More
39m 40s
Jul 2024
US Housing: What Will Slow Home Price Growth?
Record-high prices remain a key concern for buyers in the U.S. housing market. Our Co-Heads of Securitized Product Research dig into the data, explaining why they still believe a deceleration in home price growth will come. ----- Transcript ----- Jay Bacow: Welcome to Thoughts on ... Show More
6m 55s
Aug 2024
239: THE HUGE Downside of No-Income-Tax States and a Hidden Housing Market Threat
Why is everyone ignoring this one severe housing market trend, what does a 2008 crash predictor think will happen in 2025, and why are homes starting to sit longer on the market, even with mortgage rates starting to fall? Are all the headlines pointing to housing market havoc or ... Show More
42m 43s
Feb 2025
A Rollercoaster Housing Market
Our co-heads of Securitized Products Research, James Egan and Jay Bacow, explain how the increase in home prices, a tight market supply and steady mortgage rates are affecting home sales. ----- Listener Survey -----Complete a short listener survey at http://www.morganstanley.com/ ... Show More
7m 8s
Nov 2024
Why house prices are starting to fall
Big interest rate rises since May 2022 have finally seen house prices begin to drop in our most populous cities. In the latest Corelogic data for October, Sydney home prices fell 0.1% in a month, while Melbourne was 0.2% down. It’s still a mixed picture across the country, with n ... Show More
14m 16s
Aug 2024
VREP #433 | Are House Prices Dropping in Vancouver Fall 2024? With Andrew Lis
The most recent Greater Vancouver Realtors Housing Market Report paints a surprisingly grim picture of the Vancouver real estate market. New listings are up 20% year over year and transactions are down 17.6% below the 10 year average. And this is with two Bank of Canada rate cuts ... Show More
1h 30m
Jul 2024
Housing Update: Home Prices Unlikely to Decline
Rising rents and mortgage payments have been at the center of the inflation discussion. Our Global Chief Economist assesses whether monetary policy can effectively blunt those figures.  ----- Transcript ----- Seth Carpenter: Welcome to Thoughts on the Market. I'm Seth Carpenter, ... Show More
4m 9s
Oct 2024
Making Sense of Conflicting Market Statistics
On today’s show we are looking at the national average numbers for residential real estate.  The statistics seem to be conflicting and it seems like the numbers are not adding up. On today’s show we are going to unwind the apparent contradiction to make sense of what is truly goi ... Show More
5m 22s
Jun 2023
The Lock In Effect
On today show we’re taking a look at a major shift in the rental housing market. This change is a direct result of the rapid increase in interest rates. A lot has been written in recent months about the so-called lock in effect. I recently attended a talk by Dr. Doug Duncan, chie ... Show More
5m 33s
Feb 2025
7 Best (Beginner) Markets to Buy Rental Properties in 2025 (Rookie Reply)
Where should YOU invest in 2025? Stay tuned because we’re going to share our top seven real estate markets for buying rental properties this year. We’ll tell you why we like them, why they’re growing, and whether it’s worth moving there to invest!Welcome back to another Rookie Re ... Show More
41m 15s