Holding other things constant, yes, months-of-inventory is a good sign of where real estate markets are headed.
But other things are NOT constant, so I don’t buy your implied assumption that flattening inventory means the market is bottoming.
This is why Rich looks at additional factors, and posts data, for example, on the RATIO of inventory that is must-sell, bank-owned.
while inventory may have held flat, that very important ratio has NOT held flat. When a market transitions into one dominated with bank owned MUST SELL inventory, that has a dramatic impact on pricing.
