Home Market News Archives - Page 38 of 43

Knoxville Real Estate vs. National Real Estate in Q1

May 13, 2014 By Troy Stavros

Buyers and sellers of Knoxville real estate need to be very careful what they believe when listening to the media about the housing market. Sure you can believe most of the numbers you hear, but you can’t necessarily translate what those numbers say to your local market. REAL ESTATE IS LOCAL. Here are some good examples which show how our local Knoxville real estate market is bucking the trends of the national housing market.

A recent article in the Wall Street Journal titled, “Why the Nation’s Hot Housing Market Is Cooling, Slightly” made the following statements:

“The housing market showed signs of cooling in the first quarter as the supply of homes for sale expanded and lofty prices put a damper on demand in recent months. A key driver of the price slowdown was an increase in the supply of existing homes listed for sale in the first quarter, which expanded by 3.1% from a year earlier..”

When we compare this statement against our local Knoxville real estate numbers we differ quite a bit. Where the national market “showed signs of cooling” in the first quarter of the year, the Knoxville market’s PENDING home sales are up 14.3% from one year ago and up 15.5% year to date (refer to chart at bottom of the page). April numbers show the trend continuing as PENDING home sales were up 21.8% from last year and 17.7% YTD.
If a “key driver to the nation’s price slowdown was an increase in the supply of existing homes in the first quarter”… what happened in Knoxville? The supply of homes has DECREASED by 15.6% from one year ago and is DOWN 8.1% year to date (refer to chart at bottom of page). Logic would tell us that if the increased inventory is making the nation’s price growth slow, then Knoxville’s decreased inventory would do the opposite. This seems to be proving accurate as noted in my recent article, “List Prices Are Rising Fast On Knoxville Real Estate” that showed list prices rising by 2.1% in a one month period between March and April.

I just hope this example will make you think twice when you hear news about the housing market on the national media. Your best source of learning the status of your local Knoxville real estate market is a local, Knoxville real estate agent. To discuss the market or your goals with buying your selling a home in Knoxville, contact me, Troy Stavros with Gables & Gates, REALTORS today!

List Prices Are Rising Fast On Knoxville Real Estate

May 12, 2014 By Troy Stavros

The prices at which sellers of Knoxville real estate are listing their homes is rising quickly. The year over year increase in the median list price of homes in Knoxville as evidenced by my research is 9.38%. However the telling factor is that the median increase that has been witnessed in the last month (between March and April) was 2.1%. That a pretty big jump for just one month.

Nationally, list prices rose just 0.8% month-over-month and increased 9.0% year-over-year, the smallest gain in 11 months according to an analysis of data from Trulia’s Price Monitor and Rent Monitor.

The combination of a slow year over year increase both locally and nationally and a big month to month jump locally tells me that the Knoxville market is heating up fast. If we look outside these numbers we can see further evidence of this. For example, the last 4 homes I have listed in differing price points ($180,000, $350,000, $400,000, and $500,000) all went under contract with an average of 11.25 days.

Knoxville real estate inventory is still low which is adding fuel to the fire of rising prices. Prices rise when demand is high and supply is low. So if you are thinking about selling your home in Knoxville, now is the time! If you are thinking about buying a home in Knoxville keep in mind that you will have plenty of competition, so make sure you are utilizing the guidance of an agent that can help navigate what could be a turbulent ride. Within the last month I’ve assisted three different buyers in multiple offer situations and I am happy to say that two out of the three were able to secure the home (2 out of the 3 also took my advice 🙂

If you are looking to buy or sell in the Knoxville real estate market contact me, Troy Stavros with Gables & Gates, REALTORS to discuss your goals and formulate a game plan. Talk with you soon!

Knoxville Real Estate Market Update for April 2014

April 22, 2014 By Troy Stavros

A recent report by the National Association of REALTORS showed that the current national housing market is underperforming by historical standards, but where does Knoxville real estate stand?

My research shows that in the four main categories (Sold Listings, Pending Listings, Active Listings, and New Listings), only one is showing positive signs here in the Knoxville real estate market. Evidenced by the graphs below, only “Pending Listings”, or homes currently under contract, is showing a gain over last year (up 15.5%). “Sold Listings” are down 8.6% from the same time last year, and the categories showing current Knoxville real estate inventory are down as well, with “Active Listings” down 8.1% and “New Listings” down 5.4%.

To get a better feel for how your individual price point is faring in Knoxville, dig a little deeper into the numbers below and you will see that there is a pretty wide variation between performance in differing price points. To get an idea of where your current home may fall CLICK HERE for an INSTANT, no hassle price evaluation.

Lawrence Yun, NAR’s chief economist said, “There really should be stronger levels of home sales given our population growth. In contrast, price growth is rising faster than historical norms because of inventory shortages.” Yun does expect improvement, however. “With ongoing job creation and some weather delayed shopping activity, home sales should pick up, especially if inventory continues to improve and mortgage interest rates rise only modestly.”

The national median existing-home price for all housing types in March was $198,500, up 7.9% from March 2013. Knoxville’s median existing home price was $140,000, up 4.19% from last year.

Because of the laws of supply and demand, lower year over year inventory levels will only lead to higher prices, so my advice to Knoxville home buyers would be to find a home that suits your needs and jump on it quickly before prices rise even higher. My advice to sellers would be to get your home on the market where it could possibly bring a premium in a low inventory environment.

To discuss your Knoxville real estate goals, whether it be buying or selling, contact me, Troy Stavros with Gables & Gates, REALTORS to schedule a time to sit down and formulate an action plan.

The Hot Season To Buy Or Sell A Home In Knoxville Is Upon Us!

March 19, 2014 By Troy Stavros

Whether you are in a warm weather market, cold weather market, or a high tourist seasonal market, you will see the hot time of the year to buy and sell a home ebb and flow throughout the year. There will be times of the year that will slow down and others will take off. Locally, we are about to step into the busiest time of year to buy and sell a home in Knoxville. As evidenced by the graphics below, we typically see a drop in sales volume, sales price, and inventory throughout the winter months. Then once we hit February or March, the trend does an about face and the number of homes sold increases, along with the prices of those homes and the number of homes available.

What does this mean for you?

If you are looking to sell a home in Knoxville, there is good news and not so good news. The good news is, the odds of selling your home will increase along with the odds of selling it for a higher price. The not so good news is you will have more competition.
Seller’s takeaway: Get your home on the market as soon as possible, before more competition hits the market alongside of you.
If you are looking to buy a home in Knoxville, the good news is you should be seeing more options hit the market as inventory increases. The bad news is that you will most likely be looking at higher prices and more competition for homes as well.
Buyer’s takeaway: Start looking today and when you find the right home don’t mess around. Waiting too long or submitting low offers will invite additional offers in to compete against you.

If you are even considering buying or selling a home in Knoxville in the near future, contact me, Troy Stavros with Gables & Gates, REALTORS, to sit down and plan out your strategy for achieving your Knoxville real estate goals. I look forward to talking with you!

What Are The Recent Price Trends For Homes In Farragut?

March 12, 2014 By Troy Stavros

The graphs below show the recent trends in average prices of homes in Farragut, Tennessee. By looking at the trends of active and sold homes in Farragut we can get an idea of whether prices are trending up or down.

This first graph looks at the active homes for sale in Farragut and how their average prices are trending. We can see that prices of homes for sale in Farragut are most definitely trending upwards at a fairly steady pace with the average list price rising significantly over the last year.

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This second graph looks at the homes sold in Farragut and how their average prices are trending. Sold prices of homes in Farragut are also up from one year ago, but stayed fairly steady between July and November. The drop in the winter months is typical of the winter months but you can see that prices are gaining fast on the highs from the last year and will most likely surpass them with the hot Spring selling season upon us.

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What does this tell us? For sellers, this is good news, as prices are rising. Therefore, it’s a good time to be selling your Farragut home for top dollar. If you are looking to buy a home in Farragut, the time is now, as continuing to wait will most likely have you paying higher prices. Couple this with what economists say will also be rising interest rates and that spells less affordability in the near future. To discuss your goals for selling a home in Farragut or buying a home in Farragut, contact me, Troy Stavros to set an appointment to sit down and plan a strategy.

Nice Gains for National and Knoxville Housing Market

February 5, 2014 By Troy Stavros

According to CoreLogic’s latest housing report, national home prices made double-digit gains in 2013, increasing with the highest annual rate since 2005. While the Knoxville housing market didn’t see as dramatic an increase on average, we did move in the right direction with an overall 5% increase in the median sales price.

CoreLogic’s chief economist stated, “We expect the rising prices to attract more sellers, unlocking this pent-up supply, which will have a moderating effect on prices in 2014.” I am hoping that the part about unlocking pent-up supply holds true, as we are still struggling with lower inventory levels here in Knoxville, with many buyers sitting on the sidelines waiting for houses to pop on the market.

The report showed that nationally, the median sales price for all of 2013 was $197,100, 11.5 percent above the 2012 median price. In Knoxville the median home price came in at $144,900. This goes right along with what we’ve known all along, which is that the Knoxville housing market is quite affordable compared to other parts of the country.

Let’s compare some 2012 to 2013 numbers for the Knoxville housing market:

Home Sales UP 15%
Inventory UP 3%
Average Sales Price UP 5%
Dollar Volume Sold UP 18%

All signs are currently showing that this momentum should carry over into 2014. If you are looking to buy or sell a home, contact me, Troy Stavros, today to discuss your real estate goals and how I can best serve you.