The real estate market of 2023 has been facing a unique challenge - low inventory. This means there aren't enough homes for sale to meet the growing demand of buyers, which has only gotten worse during the craziness of 2020. While inventory has been moving upward since May 2022, the number of active home listings in November 2022 was still around 38% lower than the pre-2020 levels of November 2017-2019.

This trend has a significant impact on both buyers and sellers. For buyers, it means that the best homes will likely be snatched up fast. With most homes spending only 56 days on the market in November 2022, which is 18 days less than typical pre-2020 levels, you need to be on your toes when house hunting.

If you want to find a good home in this slim market, it's essential to sacrifice some wants for your must-haves. You may have to find the least expensive home in the best neighborhood you can afford and upgrade over time. You can also expand your search to find gems in less popular neighborhoods with the help of a real estate agent who knows the area well. Getting pre-approved for a mortgage before you go house hunting is also a must in any market. This legwork ahead of time will give you an edge over other buyers who are not preapproved.

On the other hand, if you're selling a home, low inventory means less competition. So if your home is in a great location or has features that buyers want, you can expect to see multiple offers coming your way. But if you aren't in a hurry to move, you should wait for an offer that gives you the most profit. Remember, the least desperate person always has the upper hand when negotiating.

While low inventory presents challenges, it also creates opportunities for buyers and sellers who can navigate the market. For buyers, the slim pickings can be a blessing in disguise as it forces them to prioritize their needs over their wants. For sellers, the low inventory means that demand is high, and they can expect to see multiple offers on their homes.

Overall, the current low inventory trend in the market requires buyers and sellers to be agile and prepared. Buyers need to be ready to act fast and make sacrifices, while sellers need to be patient and wait for the right offer. A major key to success in this market is to work with an experienced REALTOR® who can guide you through the process and help you make informed decisions. While the market may present unique challenges, there are still opportunities for those who are willing to adapt and take advantage of them.