Tri-Cities home sales, prices continue record-setting pace

Hank Hayes • Nov 16, 2019 at 11:30 AM

GRAY — The average Tri-Cities area home sales price increased a robust 7.8% last month compared to October last year, and sales were up 3.9%, according to a report released Friday by the Northeast Tennessee Association of Realtors (NETAR).

With two months to go before the book on 2019 is closed, NETAR said the local housing market is on track for another record-setting year.

There were 668 closings on single-family, townhome and condominium sales last month, and the average sales price rose to $182,628. The 10-month total for closings was 6,442, up 276 from the same period last year.

Single-family resales had their best October performance since 2008, and the average sales price of $186,394 was at an 11-year high for October sales. Single-family resale prices are a good indicator of the overall market since they account for more than 90% of all sales. Fifty-one townhome and condo sales closed in October, two fewer than in October last year. The average price of $137,066 was a 10.6% improvement.

“We’re beginning to see some seasonal slowing, but the record-setting pace is not letting up much,” said NETAR President Karen Randolph. “Given current conditions, we should finish out the year with more sales and price records.”

“The current best annual single-family price increase was 5.9% in 2012. October’s annualized single-family average points to an increase in the 6.3% range,” added Don Fenley, NETAR’s data analyst.

New listings were up 11.2% in October and new pending sales were up 14.6%, so the tight inventory conditions haven’t changed. The 11-county region monitored by NETAR had 3.5 months of inventory last month. Total active listings were 14% lower than October last year. The median time a residential resale that closed in October was on the market was 79 days, according to Realtor Property Resource.

NETAR’s report capsules housing market conditions in Carter, Greene, Hawkins, Johnson, Sullivan, Unicoi, and Washington counties in Northeast Tennessee and Scott, Lee, Wise, and Washington counties in Southwest Virginia. It also includes market data from the region’s primary city markets. City and county market share, year-over-year and year-to-data closings and average sales prices can be found on the NETAR website’s market analytics page at https://netar.us/market-analytics.