Nashville Housing Market Update | August

Let's look at the numbers, the latest numbers for Nashville and middle Tennessee.Sales for July were down quite a bit, 19%. We will look at that number in just a minute, but let's go through the key figures here.

Median sales price in the middle of Tennessee for a single family home for July, $490,000. A year ago, $415,000. So, you can see the price rise over 12 months there. Days on market is at 28. Just a few months ago, we were talking about Nashville leading the country in 12, 13, 14 days on market.

What does all of this mean? So, comparing the number to 2021, of course, it's down. Interest rates have gone up. Some buyers have backed out, and home prices have stayed steady for the past few months.

And last year was a white piping hot housing market, so the current numbers look more like they might have looked back in 2019. We could still use more inventory to really look a lot more similar to 2019.

It's still a seller's market, and we expect prices to probably increase once the mortgage rates determine what they're going to do. Is it going to be high? Is it going to be low? Is it going to be in the middle? Whatever it is, they'll calm down, and buyers will come back out. So, this is more of what a normal market looks like.

An article from Redfin points to that being more of a normal market. The multiple offers on a listing, that was the case for 47% of the houses on the market in Nashville in June. 47%'s a lot, but that was down 21% from the previous month when it was at 68%.

So, Nashville's not alone either. A lot of Sun Belt markets were way down for multiple offer situations, bidding wars, Austin, Dallas, Tampa, Miami, Las Vegas, those were all hot markets during the last two years, and their bidding war numbers all dropped double digits.

So, what's that mean? We're getting to, again, some normalcy. This gives buyers time to look at houses. You can go look at a few houses on the weekend. You don't have to go Thursday at 8:30 in the morning to see that house that's going to get 18 offers. In this market, the most popular listings continue to get multiple offers. But overall their buyers have an opportunity to think things over more than 24 hours, which is nice.

-Justin

Nashville Housing Market Update | July 2022

The last few months, you've heard economists and other people in the know predict two things for the national housing market. One, that the number of sales would go down. Two, that the average sales price would go up. And that is happening right now nationally and in Nashville and Middle Tennessee. Let's look at the latest numbers. The last complete month of sales, June, compared to the same time last year, down 8%. Why are sales down 8%? You might have guessed, it's the mortgage loan interest rates. They're up, so buyers are bowing out.

What's that do to things like days on market? Well, those are going up. They're at 24 days on market on average for listings. If you remember a few months ago, we were talking about Nashville leading the country in the fewest days on market around 12 and 13. Number of listings, that's gone way up, 22%. Put 22% in bold and circle it because that is the second largest year-over-year increase in number of listings in the country amongst the 53 largest metros surveyed. Nashville just got a lot more inventory, that is great for buyers.

Sales prices, are they doing what people predicted? Sure. The median sales price in Middle Tennessee for a single family home, $495,000. The same time last year, $415,000. Is this doom and gloom? No, it doesn't seem like it. If you compare it to the craziness of the last 18 months, maybe it seems like that, but really there are pre-2020 mortgage rates. It's pre-2020 inventory. If you've been trying to buy and you've just been frustrated, then now's your time. It's time. There are houses sitting on the market that are good houses. Some are even doing price decreases.

Thanks for reading. Talk to you soon.