Knoxville, TN, April 19, 2013 --(PR.com
)-- With talk of the Real Estate market turning around in other areas of the country many are wondering how the Real Estate Environment is in Knoxville. As many are aware, each market has its own fluctuations, which means it may be one way in California, and something very different here in Tennessee. As is evidenced from recent home sales, the Knoxville Real Estate market has improved significantly in 2013 and has some sellers smiling again. In fact, Knoxville Area Association of Realtors (KAAR) reported 876 closed units (that includes condos and single family homes) in February 2013, which is the highest number of sold homes since 2008. Here are a few other facts that show the tide is turning from a buyers market, to one that is more balanced for both buyers and sellers.
Months of supply are down to 15%, which is the lowest their housing inventory has been since 2007 (in 2011 & 2009 we were at a whopping 24.50%).
A 15% increase in closed housing units over February 2012 and a 35% increase over February 2011.
The average days a house was on the market for February 2013 was 122 days versus 124, a slight decrease from February 2012, and down 8% from February 2011.
The average price for a 3 bedroom single family home also rose 4% in the February 2013. The average prices went from $136,900 in February 2012 to $142,300 in 2013.
What the numbers mean to buyers and sellers:
Prices are beginning to rise- While sellers still need to be competitive, homes are beginning to appreciate again. Take a look at a related post to better understand individual buying power, How Much House for $150,000 in Knoxville Today, by Shannon Foster-Boline.
Financing- Interest rates are slowly heading north, if anyone has been on the fence about buying, it is time to jump.
Availability- With lower inventory there may be less selection in a specific price range. Buyers should have a trusted Real Estate Professional take a look at units on hand in a given price range and average prices. It is likely that the current options are not too plentiful.
Negotiating- Multiple offers are no longer a thing of the past. As values have stabilized and homes have begun to appreciate, don’t expect sellers to knock the price down a bunch on a fairly priced listing. If a buyer sees something of interest, then they shouldn't wait too long to decide whether or not to buy the property, because it is probably going to sell.
So in short, houses are starting to sell faster and at a higher price, there are fewer homes on the market than before, and interest rates are creeping up. Buyers should seriously consider taking advantage of the current market and purchase a home before Knoxville begins to start seeing higher rates and home prices. The good news for sellers is that their Real Estate investment is starting to gain value again in what was a very tough market place. For more information on purchasing homes, review a Home Buyer’s Guide Book, a downloadable e-book by Real Estate broker, Shannon Foster-Boline.
Post by Shannon Foster-Boline, Broker
Coldwell Banker Wallace & Wallace, Realtors
124 N winston Rd.
Knoxville, TN 37919
Each office is independently owned & operated