For the longest time, homeowner’s in Nashville have enjoyed record-breaking increases in property values as well as having a stronger position during negotiations. However, the latest report by the Greater Nashville REALTORS® shows that the market may be heading for a more balanced state.
Watching the Trends
Home inventory has now increased for 3 months in row, which is something we haven’t seen in a very long time. Interesting enough though, the average days on market is only 25 days, which is exactly what it was this time last year when we had a major shortage in homes.
This tells me that even though the inventory has increased, there is still very strong demand for housing in Nashville. Homebuyers just have more options to choose from now, which should limit the number of multiple offer situations that they run into as well as present better terms for them like closing costs, repairs, home warranty, etc.
To further show how the housing market in Nashville is beginning to stabilize, we took a look at the total number of home closings for 2018 (23,242) compared to this time last year (23,365). The difference represents a .5 percent decrease. For a housing market that has seen consistent increases every year, this is a sign of a more balanced market heading our way.
Should Homeowner’s Be Concerned?
All is not doom and gloom for homeowners though as home prices are still seeing steady gains. The median sales price for single-family homes during July was $307,000 compared to $288,243 in July of 2017. Condos also saw an increase from $203,000 to $222,750. It is impossible to perfectly time the market because there are just too many variables at play, but if you have been thinking about selling your home, this latest set of data says it might be an ideal time to sell while the market still slightly favors sellers.
Real Estate Closings by Category
What This Means: Quotes From GNAR President
“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.”
“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.
There were 3,347 homes pending at the end of July. This is slightly down from the 3,575 properties we saw under contract this time last year.
Inventory at the end of July was 11,671 which was a substantial increase from 9,151 in 2017.
Ready to Find The Perfect Home ?
Get alerts for new properties that match your exact criteria as soon as they hit the market.