November home sales push Tri-Cities area housing market toward another record year

Hank Hayes • Dec 17, 2019 at 7:30 PM

GRAY — November home sales increased 12.8% from last year in the 11-county region monitored by the Northeast Tennessee Association of Realtors (NETAR), while the average sales price declined 2.2%.

“So far this year, closings on single-family and condominium/townhomes total 7,051.” NETAR President Karen Randolph said. “That’s just 95 closings shy of the 2018 total. So, it’s safe to say 2019 will be another record year for our market. It’s also noteworthy that residential resales tracked by NETAR for the first 11 months of this year pumped $1.3 billion into the regional economy. And that doesn’t include new home sales, resales that were not listed on the regional Multiple Listing Service or commercial real estate sales.”

There were 560 single-family resales closing in November, an 11.6% improvement over last year. The total for townhome/condo closings was 49, up 28.9% from last year.

November’s average single-family resale price was $179,188, down 3.5% from last year, and the average townhome/condo resales price was $145,969, up 29.3% from last year.

Although there was some expected seasonal softening of sales and prices from October, the year-to-date data show the local market continues its robust performance, said Don Fenley, NETAR data analyst. So far this year, the single-family market is performing 5.4% better than the first 11 months of last year while the average single family resales price is up 5.5%. Townhome/condo resales are up 2.7% while the average resales price is a 5.8% improvement, he added.

“Mortgage rates continue to stay at record-low levels, and the local labor market continues adding jobs. Wages are also increasing,” Randolph pointed out. “Our biggest headwind continues to be lack of inventory.”

The average time on market for a single-family resale that closed last month was 117 days. It was 90 days for a townhome/condo sale.

NETAR’s Trends 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 web site’s market analytics page at https://netar.us/market-analytics.