by Calculated Risk on 5/10/2021 10:38:00 AM

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 7th, inventory was at 310 thousand (7 day average), compared to 732 thousand the same week a year ago.  That is a decline of 57.6%.

A week ago, inventory was at 307 thousand, and was down 58.4% YoY.  Seasonally, inventory might be at a bottom - this has been at about the same level for the last four weeks.

Mike Simonsen discusses this data regularly on Youtube.