by Calculated Risk on 5/24/2021 01:10:00 PM

One of the key questions for 2021 is: Will inventory increase as the pandemic subsides, or will inventory decrease further in 2021?

Tracking inventory will be very important this year.

Click on graph for larger image in graph gallery.

This inventory graph is courtesy of Altos Research.

As of May 21st, inventory was at 324 thousand (7 day average), compared to 725 thousand the same week a year ago.  That is a decline of 55.3%.

A week ago, inventory was at 314 thousand, and was down 57.0% YoY.  Seasonally, inventory has probably bottomed.  Inventory was about 5.5% above the low in early April.

Mike Simonsen discusses this data regularly on Youtube.