Realtors say the red hot stock market is driving high-end home sales, but the heat is also being stoked by something far more fundamental. There are simply more high-end homes for sale.
Dallas, Atlanta, Phoenix and Nashville have at least two times more homes for sale in the top tier than the bottom tier, according to a new report from Zillow. And they are selling.
"Depending on their finances, it's likely that individual buyers in the same market might be having completely different home buying experiences," said Stan Humphries, chief economist at Zillow. "Even as conditions improve for buyers overall, it remains a tough row to hoe for first-time buyers and lower-income buyers, especially compared to their more well-off contemporaries."
Zillow looked at over 350 local metropolitan markets and found that the number of for-sale listings rose in 68 percent of the bottom price-tier of these markets compared to a year ago. In the top tier, however, listings rose in over 82 percent of the markets. Nationwide, inventory is up about 16 percent in all tiers from a year ago.