House hunters looking for bargain properties in the new year will probably be disappointed.
A new report by Santa Ana firm CoreLogic shows pending home supply declined again in October. This shadow inventory fell 12.3% from the year prior to stand at 2.6 million units, or a supply of about seven months.
The housing recovery that began last year was spurred by tight inventory and strong demand from investors and buyers motivated by record-low mortgage-interest rates.
Those factors have helped push up prices in recent months. In a news release announcing the new data, CoreLogic analysts said that given the strong demand from investors, and others, the current shadow supply is unlikely to drag down the market in 2013.