July saw lower housing inventory

Just a bit of a good news on the housing market, via WSJ:

The supply of homes available for sale in 28 major metropolitan areas at the end of July was down 2.5% from a month earlier, according to figures compiled by ZipRealty Inc., a real-estate brokerage firm based in Emeryville, Calif. The Zip data cover all single-family homes, condominiums and town houses listed on local multiple-listing services in metro areas where the firm operates.

The rest of the news HERE. The Journal also has an interactive chart on the housnig supply HERE.

Rides with the waning inventories of other goods in the market.  Paired with increasing demand, in this case also helped by bargain foreclosed properties, we could see the beginning of the turn in the housing market.  Or at least help it, since foreclosures are definitely still not over.  It’s only a matter of how fast foreclosed properties grow on an absolute basis compared to the decline in inventories (or putting them together, whether more declines will follow) .  And of course, you also have issues with demand (and supply) for new mortgages.