It’s good to be a homeowner in Nashville these days. As one of the hotter markets in the country, Nashville property values have consistently risen over the past few years. Last month was no different as we saw the average home value rise by 10% compared to this time last year. This compares to the national average which saw just a 6.3% increase.
In it’s latest report, The Greater Nashville Association of REALTORS® showed that there were 3,698 closings reported for the month of May. This is a solid 3.9 percent increase over the 3,558 closings reported for May 2015. Our year-to-date closings total 14,583, which is an 8.8 percent increase compared to the 13,402 closings that were reported through May of last year.
Current Home Values
Nashville’s median residential price for single-family homes during May was $258,900 and for a condominium it was $194,000. This is a a nice increase compared to last year’s average residential and condo prices of $235,000 and $175,000, respectively.
Sales by Category in May
Quotes From the GNAR President
“May was another strong month for the housing market,” said GNAR President Denise Creswell. “The successes and challenges we face locally are in-line with the rest of the country.
“Our median price rose 10 percent in May compared to 2015. The most recent national numbers from April show median price is up 6.3 percent, so we’re similar in growth. Middle Tennessee is also following national trends with housing supply. Our inventory levels made slight gains in the condo and multi-family areas in May compared to the previous month, but are still down overall when compared year-to-year. Inventory levels nationally are also struggling, down 3.6 percent for April of this year compared to 2015.”
“Last month, Realtors from across the country met in Washington, D.C. for the National Association of Realtors Legislative Meetings. One of the biggest takeaways from those meetings was the proposed changes to the FHA condominium loan program,” said Creswell. “The changes announced by Housing and Urban Development Secretary Julian Castro address streamlining the recertification process, reducing the owner-occupancy requirements and the limits on the types of property insurance FHA considers acceptable coverage.
“Condos are often excellent and affordable properties for first-time buyers. As competition is so tough in the entry-level market, anything that can be done to make homeownership more attainable for eligible first-time buyers is a positive move in the industry,” said Creswell.
Nashville Home Inventory by Category
Still starving for more inventory, there were 12,122 available homes at the end of May, which was down from 13,764 in 2015.
The end of May saw 3,930 sales pending, which compares to the 3,730 pending home sales at this time last year. The average days on market for single family homes was 57 days in May, which was down 4 days compared to May 2015.
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