Middle Tennessee Housing Inventory Continues to Rise

Middle Tennessee Housing Inventory Continues to Rise
Greater Nashville REALTORS®, Press Release | August 7, 2018

TheGulchNashvilleNASHVILLE, Tenn. (Aug. 7, 2018) – There were 3,812 closings reported for the month of July, according to figures provided by Greater Nashville REALTORS®. This represents a 1.5 percent decrease from the 3,872 closings reported for July 2017.

Year-to-date closings total 23,242 a 0.5 percent decrease compared to the 23,365 closings reported through July 2017.

“The numbers in July show a slight decrease in closings compared to 2017, but the market remains stable as we continue to see a steady inventory increase,” said Greater Nashville REALTORS® President Sher Powers. “We are pleased to see inventory continue to grow across Middle Tennessee, which is not the case in other markets across the country.”

There were 3,347 properties under contract at the end of the month, compared to the 3,575 properties under contract at this time last year. The average number of days on the market for a single-family home was 25 days.

The median residential price for a single-family home during July was $307,000 and for a condominium it was $222,750. This compares with last year’s median residential and condominium prices of $288,243 and $203,000.

Active inventory at the end of July was 11,671 which increased from 9,151 in 2017.

“The continued increase in inventory can lead to a more balanced and healthy market across Middle Tennessee, calming the steady pricing increases we’ve seen in the past few years, which in turn may inspire buyers on the fence to start their home buying search,” said Powers.

### About Us: Greater Nashville REALTORS® is one of Middle Tennessee’s largest professional trade associations and serves as the primary voice for Nashville-area property owners. REALTOR® is a registered trademark that may be used only by real estate professionals who are members of the National Association of REALTORS® and subscribe to its strict code of ethics. ###

The data collected for this release represents nine Middle Tennessee counties: Cheatham, Davidson, Dickson, Maury, Robertson, Rutherford, Sumner, Williamson and Wilson.

View the July 2018 Market Data Infographic

Source: Greater Nashville REALTORS®, Press Release 080718

Nationally: Has the Inventory Crunch Begun to Subside?

Nationally: Has the Inventory Crunch Begun to Subside?
National Association of REALTORS® | July 30, 2018

Nashville June2018InventoryContract signings rose in all four major regions across the U.S. last month, a sign that dwindling home sales—which have plagued the market at an unusual time of year this summer—will reverse course in the coming months, the National Association of REALTORS® reports.

NAR’s Pending Home Sales Index, a forward-looking indicator based on contract signings, increased 0.9 percent month over month in June to a reading of 106.9. “After two straight months of declines in pending home sales, home shoppers in a majority of markets had a little more success finding a home to buy last month,” says NAR Chief Economist Lawrence Yun. “The positive forces of faster economic growth and steady hiring are being met by the negative forces of higher home prices and mortgage rates. Even with slightly more homeowners putting their home on the market, inventory is still subpar and not meeting demand. As a result, affordability constraints are pricing out some would-be buyers and keeping overall sales activity below last year’s pace.”

Despite last month’s rise, contract signings are still down 2.5 percent compared to a year ago, NAR reports. Nevertheless, Yun says the worst of the supply crunch may now have passed. In June, existing inventory was up slightly on an annual basis, marking the first increase in three years. Several large metros saw year-over-year surges in inventory levels last month:

  • Portland, Oregon.: +24 percent
  • Providence, Rhode Island: +20 percent
  • Seattle, Washington: +19 percent
  • Nashville, Tennessee: +17 percent
  • San Jose, California: +15 percent

“Home price growth remains swift, and listings are still going under contract at a robust pace in most of the country, which indicates that even with rising inventory in many markets, demand still significantly outpaces what’s available for sale,” Yun says. “However, if this trend of increasing supply continues in the months ahead, prospective buyers will hopefully begin to see more choices and softer price growth.”

Source: National Association of REALTORS®; REALTOR® Magazine 073018