Well, what is months’ supply, you ask? Months' supply is a metric that measures how long it would take for the current inventory of homes on the market to sell at the current pace of sales. A general rule of thumb is months’ supply between
4-6 is a balanced market. In Fairfield County, the months' supply for a single-family home was 1.8 in February 2023. This is on par with the same month in 2022 but down from 2.2 in February 2021. To put it in perspective, the months' supply in February 2020 (pre-pandemic) was 5.9.
It's important to note that the real estate market is seasonal, and historically, the
highest number of new listings come on the market in the spring months of April to June. However, even with an influx of new listings, it would take a significant amount of listings to come on the market over an extended period of time for the months' supply to climb up to a more balanced level of 4-6.
All the while the months’ supply is low, the prices will remain higher and there won’t be enough supply to satisfy demand. This is good news for sellers who would still like the opportunity to take advantage. Because while other markets may be experiencing a downturn, the Fairfield County market is still thriving.
