The total number of single-family homes, condos, townhomes and co-ops for sale nationwide decreased by 16.5 percent in January from one year ago, dropping to its lowest point since January 2007, the National Association of Realtors (NAR) reported this week.

The year-over-year decline in homes for sale demonstrates that the real estate market has worked through much of its excess inventory and, if these conditions continue, sellers are more likely to receive their asking price, according to NAR. While the median list price is essentially the same as it was one year ago, the average amount of time a home spent on the market decreased 9.2 percent on a year-over-year basis.

The NAR also reported the following:

• The national for-sale inventory for single family homes, condos, townhomes and co-ops continued to decline in January, falling by 5.6 percent during the month and by 16.5 percent on an annual basis.
• The national median list price for those properties increased 0.8 percent in January and is now slightly higher than it was one year ago. 
• The median age of inventory of for-sale listings was 108 days in January, down 2.7 percent from December and 9.2 percent below the median age one year ago.