In the midst of a tightening housing supply, the US homeowner vacancy rate has dropped to 1.5% during the first quarter of the year.
This metric is defined as the inventory of non-vacation properties that are vacant and for sale.
A year earlier, the percentage was at 1.7 and started to go down to 1.6 in the last quarter. The statistics only mean that no house is going to waste while the country is in the middle of a residential supply crunch.
Genworth Mortgage Insurance Chief Economist Tian Liu explained that the dwindling vacancy rate is an additional concern on low housing supplies. “The decline in vacancy rate has been an important, though silent, addition to the housing supply. Home prices will likely rise further, and the need for more affordable new homes is also greater.”