In years past, September home sales tended to reflect the changing temperatures. September usually starts hot, and by the end of the month a shift in weather is usually a sign of fall’s arrival.
Our current housing market has kept a similar trend with the temperature. Locally, there are little signs of any cooling off period. A limited supply of housing and increased selling prices are keeping the market very hot indeed.
There are signs the market might be shifting in the favor of homebuyers, however. New listings have continued to hit the market, bucking seasonal trends commonly seen in the fall – a time when listing and sales activity typically slows as children return to school.
Moreover, as inventory increases, competition for homes might soften and could even bring some moderation in sales prices, which, after 114 months of year-over-year gains, would be music to the ears of homebuyers throughout the country.
Nationwide, existing home sales were down slightly in August, falling 2% after two consecutive months of increases, according to the National Association of Realtors.
The decline in existing home sales coincides with rising sales prices, which have continued to soar into fall, with the median sales price of existing homes up 14.9% compared to last year.
Declining affordability has had a significant impact on homebuyers, many of whom have been priced out of the market and are choosing to wait for sales prices to ease before resuming their home search.
Locally, new listings in the Chattanooga region increased 12.1% to 1,295. Pending sales were up 13.1% to 1,216. Inventory levels shrank 27.2% to 1,258 units.
Prices continued to gain traction. The median sales price increased 10.9% to $265,000.
Days on market was down 61.5% to 15 days.
Sellers were encouraged as months supply of inventory was down 33.3% to 1.2 months.
Weather changes. The housing market changes. But something that won’t change is the importance of utilizing a Realtor to buy or sell.
Realtors have the tools to make sure you get the most for your largest investment, whether you’re buying or selling. Caring for our community’s real estate needs – That’s Who We R.
Founded in 1912, Greater Chattanooga Realtors is a regional organization with more than 2,500 members servicing Hamilton and Sequatchie counties in southeast Tennessee and Catoosa, Dade and Walker counties in Northwest Georgia. The association is one of approximately 1,100 local associations and boards of Realtors nationwide that comprise the National Association of Realtors. Greater Chattanooga Realtors owns and operates a Multiple Listing Service, which is one of approximately 600 MLSs in the country, and services more than 2,700 MLS users.