Home sales and prices have increased, while the number of homes for sale have decreased.
Officials from the Greater Chattanooga Association of Realtors said, "Halfway through 2016, residential real estate markets are performing as predicted at the beginning of the year. Sales and prices have been going up in most areas, while the number of homes for sale and total months' supply of inventory have been going down. Meanwhile, many sellers have been getting a higher percentage of their asking price, and supply continues to struggle to meet demand. The message may be repetitive, but it is largely positive.
"New Listings in the Chattanooga region decreased 1.0 percent to 1,349. Pending Sales were up 19.9 percent to 952. Inventory levels shrank 19.8 percent to 3,703 units.
"Prices continued to gain traction. The Median Sales Price increased 11.0 percent to $172,000. Days on Market was down 13.9 percent to 62 days. Sellers were encouraged as Months Supply of Inventory was down 28.1 percent to 4.6 months."
"The national unemployment rate recently dropped 0.3 percent to 4.7 percent, but some states felt more of a pinch in their own figures. Similarly, the low inventory situation is showing signs of strain in markets where there are few homes for purchase. With an interest rate increase still in the cards this year, combined with the American political landscape and global economic events, a cooldown could occur by winter. Presently, however, summery growth prevails as many locales are reaching near-record prices not seen in more than a decade."