For the second quarter of 2016, Tennessee home sales rose 7.4 percent (20,191 to 21,687 sales) and the median price also rose 7.4 percent ($181,450 to $194,900) over the second quarter of 2015, according to statistics compiled by the Tennessee Association of Realtors.
Meanwhile, second-quarter condominium sales were up 8 percent (1,964 to 2,113) and the median condo price also up 8 percent ($152,000 to $163,955) over the previous year’s second quarter.
For June 2016, Tennessee single-family home sales rose a more modest 2.3 percent over the previous June (7,475 to 7,650), while the median price rose 6.6 percent ($189,000 to $201,500), and inventory fell 27.9 percent (33,834 to 24,391).
June condo sales fell by 60 percent (722 to 285)—a reflection partly of increasingly tighter inventory—while the median condo price rose 7 percent ($154,649 to $165,000) and condo inventory dropped by 37.1 percent (2,745 to 1,727).
Following a familiar trend in recent months, tight supply in Tennessee helped to boost median home and condo prices in the second quarter.
“Tennessee’s ever-increasing appeal as a great place to live and work continues to stretch the availability of homes and push prices upward, yet we have still seen a steady rise in overall home sales and a great deal of vibrancy in our housing market,” said Chattanooga broker Randy Durham, 2016 president of the Tennessee Association of Realtors. “As Realtors, it is encouraging to be part of such a healthy, growing economy that provides plentiful opportunities to help buyers and sellers navigate the challenges of a fast-moving real estate environment.”
Nationwide, existing home sales were up 3 percent in June from a year earlier (to 5.57 million), the median existing-home price rose by 4.8 percent (to $247,700), and total housing inventory (2.25 million) was 5.8 percent lower than in June 2015, according to the National Association of Realtors.
In addition, the share of first-time U.S.
buyers was 33 percent in June, up from 30 percent a year ago and the highest since July 2012 (34 percent)—the result of “mortgage rates near all-time lows and perhaps a hopeful indication that more affordable, lower-priced homes are beginning to make their way onto the market,” said NAR Chief Economist Lawrence Yun. For the full national picture, visit this link.
A breakdown of second-quarter 2016 numbers by Tennessee’s three Grand Divisions (West, Middle and East) illustrates each region’s uniqueness. 2Q single-family home sales were +15.4 percent in East (5,521 to 6,371), +4.7 percent in West (4,059 to 4,248), and +4.31 percent in Middle (10,611 to 11,068). 2Q median price of a single-family home was +9 percent in Middle ($210,000 to $228,900), +7.1 percent in East ($161,000 to $172,500), and +3.5 percent in West ($145,000 to $150,000).
June’s breakdown by Grand Division shows similar patterns. June single-family home sales grew +12.7 percent in East (2,008 to 2,263), fell -1.8 percent in West (1,490 to 1,462), and also fell -1.8 percent in Middle (3,997 to 3,925). June’s median price of a single-family home grew +8.7 percent in Middle ($216,000 to $235,000), +7.9 percent in East ($164,900 to $178,000), and +5.3 percent in West ($152,000 to $160,000). June inventory of single-family homes dropped -33 percent in Middle (14,240 to 9,466), -25.6 percent in East (12,868 to 9,567), and -20.3 percent in West (6,726 to 5,358).