Supply of nice homes tightening

Sales of previously owned homes fell 1.5 percent in May, according to the National Association of Realtors, but this time economists blamed a tightening supply of homes for sale. Nice homes are
attracting multiple offers even on the very day they come on the market. Homes are also being bid
up from listing price if they are exceptionally nice. There is a "frenzy" to find and make offers on non- distressed properties, especially those that have been fully updated. There are more buyers than there is good inventory.

"The slight pullback in monthly home sales is more likely due to supply constraints rather than softening demand," said Lawrence Yun, NAR chief economist, in a statement. "The normal seasonal upturn in inventory did not occur this spring."