Home sales decline settles, prices down

Published 10:42 am Friday, December 8, 2023

The downward arch of area home sales eased in November while prices declined for the second straight month.
There were 600 closings in the Northeast Tennessee Association of Realtors early November count. That’s 40 fewer than October and two fewer than November last year. The sales number typically increase with the mid-month update after closing reported too late for the first-of-the-month count are included.
November’s median sales price was $250,000, down from $260,000 in October and $21,000 more than last year. Last month’s average sales price was $293,831. It was $265,364 last year.
Compared to last year, existing home sales were down 0.7% (four sales). Homes in the affordable price ranges were up 7.2%. The move-up market was up 15.4%, and the luxury market was up 31%.
Demand – as measured by the time a property is on the market before closing – was up by three days from last year. An increase in time on market signals less demand. NETAR calculates the days on the market from the day a property is listed until it closes. Two other signs of softer demand were fewer early-count pending sales and a third of November’s sales were price reductions from the original listing price.
More than half (56%) of sellers dropped their final asking prices last month to close the deal. The average concession was $27,788. The most common was $10,000.
Active listings continued increasing last month, but at a snail’s pace. At month’s end, the region has 2.6 months of inventory. Two sub-markets – the Greeneville and Kingsport regions – have established a toehold on the bottom rung of balanced market conditions in some price ranges. Balanced market conditions occur when there’s 4 to six months of inventory.
There were 475 new construction single-family homes, townhomes, and condos listed in early December, up from 330 in early November.

Subscribe to our free email newsletter

Get the latest news sent to your inbox