A dwindling property inventory caused buyers to become more competitive with one another, and as a result, homes are taking much less time to sell.
At the end of July, the median time a home spent on the market was 69 days,which was a 29.6 percent decline from 98 days the previous year. according to a report from the National Association of Realtors.
"As inventory has tightened homes have been selling more quickly," said NAR chief economist Lawrence Yun. "A notable shortening of time on market began this spring, and this has created a general balance between home buyers and sellers in much of the country."
Meanwhile, during the month of July, property data indicated roughly one-third of homes purchased spent less than a month on the market, while just one-in-five were listed for sale for more than six months, the report said.
By the end of July, the nationwide home inventory made up a 6.4-month supply, which was a 31.2 percent decline from a year earlier, when there was a 9.3-month inventory.