*Widespread Inventory Recovery

The inventory recovery is broad and growing. The net number of listings increased even though the summer season is ending. Close to one-third of the 146 markets are within 5% of last year's inventory levels, and more than two-thirds (99) of markets registered a net increase in inventory over last month.

*Prices Stabilize

Despite the increase in inventories, the national median list price did not change compared to July. Absent a significant weakening in economic conditions or significantly higher rates, prices should continue to slowly rise alongside typical cost of living increases.

*Price Appreciation Becoming More Widespread

In August, 123 of the 146 Metropolitan Statistical Areas covered by realtor.com registered a year-over-year increase in their median list price, with 78 markets registering an increase of 5% or more. Of the 18 markets reporting a list price decline, only 11 markets had a year-over-year list price decline of 1% or more, and only three markets had a list price decline of 5% or more. By contrast, the number of markets reporting year over year median prices lower than they were last year was 31 in July.

Local Market Highlights are as follows:

The majority of markets covered by realtor.com appear to be ending the 2013 home buying season on a positive note, with more balanced inventories, shorter time on market, and higher listing prices compared to one year ago. However, some markets traditionally focused in the industrial sector continue to struggle due to weak local economies. Examples include markets in the Carolinas, Philadelphia and New Jersey.

California markets continue to dominate the list of areas experiencing the largest year-over-year median list price increases, despite the surge in new property listings that has occurred in most of these areas. Detroit, Phoenix, Reno, NV and Las Vegas also continue to be among the nation's top performers in terms of their year-over-year list price increases.

Many smaller industrialized markets in the Midwest and the Northeast continue to struggle, and several major Florida markets are showing signs of re-emerging weakness. This underscores the uneven nature of the housing recovery and its dependence on the strength of the local economy, says Realtor.com.

*Inventory

The following MSAs saw a significant decline in inventory:

-- Melbourne, FL.: -30%

-- Sacramento, CA: -26%

-- Stockton, CA: -31%

Median Age--the median age of inventory increased across the board in 130 of 146 MSAs. The three biggest gainers were:

-- Oakland, CA: +25%

-- Denver: +26%

-- Seattle: +25%

Median List Price—The nationwide median list price had no significant gains or losses, but the two markets of greatest change were:

-- Highest gain was 6.53% for Corpus Christi, TX

-- Lowest decline was -8% for Jersey City, NY.