Trending Toward Zero: Black Knight Home Price Trends Data Shows Single-Family Home Inventories Remain Near Historic Low
Black Knight, Inc. (NYSE:BKI) has released a complimentary white paper analyzing the dwindling inventory of single-family homes across major U.S. markets. The report highlights significant implications for housing affordability due to historically low for-sale inventories. Key points include the observation that the Months of Remaining Inventory (MRI) has dropped to less than two months in many areas, with higher-priced homes increasingly scarce. Factors contributing to these trends include seller hesitation and the resulting 'seller paralysis' in the current market.
- Release of a complimentary white paper analyzing housing inventory, which may drive interest in BKI's data solutions.
- Insights into market conditions may enhance Black Knight's reputation as a leader in real estate analytics.
- Dwindling home inventories may indicate a housing affordability crisis, potentially affecting real estate activity.
- Continued 'seller paralysis' could hinder transaction volumes, impacting revenues in the long term.
Complimentary White Paper Explores Current Market Conditions and Contributing Causes
- Black Knight monitors housing market conditions via its HomePriceTrends platform and assigns market condition ratings (MCR) based on a number of quantitative indicators
- For-sale inventories are near historic lows, with significant implications for home affordability and severe shortages across all price ranges in nearly all major U.S. markets
- MCR criteria are interrelated, but one factor stands out from the rest as a driver in this current cycle: Months of Remaining Inventory (MRI)
- In a complimentary white paper, Black Knight analyzes property-level data from the top 100 metros to explain why home inventories are so low, and trending toward zero
JACKSONVILLE, Fla., June 6, 2022 /PRNewswire/ -- Today, Black Knight, Inc. (NYSE:BKI) announced the release of a complimentary white paper analyzing dwindling single-family home inventory in major markets across the United States. The paper delves into the causal factors contributing to low inventories – a key driver in the nation's growing housing affordability crisis. Black Knight monitors available home inventories as part of its HomePriceTrends platform. Market Condition Ratings (MCR), which include home inventory data, are among the more than 200 reports designed to meet the valuation needs of real estate professionals, lenders, brokers and investment bankers, as well as anyone who requires fast, reliable and cost-effective residential property market information and data.
"Historically, markets maintaining four to six months of inventory would have been defined as being in equilibrium," said Michael Sklarz, managing director of the Collateral Analytics division of Black Knight. "Not only have overall months of remaining inventory (MRI) figures converged toward less than two months in recent years, but higher-priced homes – which have historically required substantially more time to sell – have been in increasingly short supply."
The paper includes HomePriceTrends MRI data for the nation's top 200 home sales markets and discusses seven factors contributing to current extreme market conditions, including would-be sellers who may be afraid to list their current home for fear of being unable to find a suitable replacement.
"We don't know how long the housing market will remain in a state of seller paralysis," Sklarz continued. "But to the extent that low inventories become the new normal, buyers will need to enhance their search and offer strategies. Agents and brokers will need to become adept at using technology – on both sides of the purchase transaction – to ensure they are providing buyers and sellers with the most current and accurate information."
View the complimentary white paper "Trending Toward Zero."
About Black Knight
Black Knight, Inc. (NYSE:BKI) is an award-winning software, data and analytics company that drives innovation in the mortgage lending and servicing and real estate industries, as well as the capital and secondary markets. Businesses leverage our robust, integrated solutions across the entire homeownership life cycle to help retain existing customers, gain new customers, mitigate risk and operate more effectively.
Our clients rely on our proven, comprehensive, scalable products and our unwavering commitment to delivering superior client support to achieve their strategic goals and better serving their customers. For more information on Black Knight, please visit www.blackknightinc.com/.
For more information:
Michelle Kersch
904.854.5043
michelle.kersch@bkfs.com
Mitch Cohen
704.890.8158
mitch.cohen@bkfs.com
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SOURCE Black Knight, Inc.
FAQ
What does Black Knight's white paper reveal about single-family home inventories?
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