Morningstar New Listings vs. Closings: The Supply Gap

In the rolling six months ending October 31, 2026, Morningstar saw 50 new listings enter the market while only 31 homes closed. This imbalance between fresh supply and completed sales defines the current supply gap. A supply gap occurs when new listings outpace closings, often leading to a gradual increase in available inventory over time. ALEX Intelligence analyzed the activity flow to quantify this dynamic. The ratio of new listings to closings stands at approximately 1.6 to 1. This means for every home that sold, nearly two more were listed but not yet closed. While the number of closings dropped from 43 in the prior six-month period to 31 today, new listings surged from 29 to 50. This shift suggests a growing inventory pool relative to buyer demand. With 36 active homes currently on the market and 31 sales over half a year, the pace of absorption is slowing. The median days on market has also compressed significantly compared to the prior period, dropping 63.2% to 35 days, even as the volume of new supply rises. For sellers, this environment requires careful pricing to compete in a growing queue of options. For buyers, the widening gap offers more selection and potentially less pressure to act immediately on every listing. The data reflects a market transitioning from tight inventory to a more balanced state where supply is accumulating faster than it is being absorbed. Want to see this home? Call or text George at 713.918.9951 for a private showing. Data from Unlock MLS. Information deemed reliable but not guaranteed. Model outputs are ALEX Intelligence estimates, not appraisals. Read more Central Texas market data on the ALEX blog: https://alex-companies.com/blog