House Prices and Inventory

Useful chart from the excellent Calculated Risk blog.
“This graph shows existing home months-of-supply (from the NAR) vs. the seasonally adjusted month-to-month price change in the Case-Shiller National Index (both since January 1999 through February 2021).“
Simply put if inventory is high prices decline, if months of supply is low they rise.
Months of supply in March is 2.1. Prices are rising strongly.