The warm weather is here, and homebuyers are returning in force. For well-priced homes in desirable locations, the competition can be fierce.
For much of the country, the first quarter of 2019 experienced less foot traffic, which impacted potential home sales. In some areas of the country, low affordability, higher prices and lower inventory contributed to slower sales across real estate markets.
Locally, new listings in the Chattanooga region increased 18.4% to 1,428. Pending sales increased 13.8% to 1,072. Inventory levels grew 3.0% to 2,648 units.
Prices also continued to gain traction. The median sale price increased 11.5% to $199,000. Days on market decreased 10.5% to 51 days.
Absorption rates were even with last year as “months supply of inventory” remained flat at 3.1 months.
The national unemployment rate dropped to 3.6% during April 2019, the lowest level since 1969. A historically low unemployment rate can provide reassurance to wary consumers.
But for sales to increase on a grand scale, buyers will need more spending power, or sellers will need to reduce prices to land where buyers are most active.
Neither situation is likely to occur in 2019, yet inventory is straining to keep pace in the most competitive price ranges.
With such a fast market, it’s more important than ever to utilize the expertise of a Realtor. We work to make homeownership a reality for our community. That’s who we R.
Greater Chattanooga Realtors is “The Voice of Real Estate in Greater Chattanooga.” A regional organization with more than 2,000 members, Greater Chattanooga Realtors is one of some 1,300 local boards and associations of Realtors nationwide that comprise the National Association of Realtors. Greater Chattanooga Realtors service Hamilton and Sequatchie counties in southeast Tennessee and Catoosa, Dade and Walker counties in northwest Georgia. More at www.gcar.net and 423 698-8001.