New Chattanooga Realty Listings, Sales Up As Inventory Shrinks

The Greater Chattanooga Association of Realtors said listings and sales are up, but inventory is shrinking.

CAR said in a monthly report, "Closed sales began to cool for much of the country last month, and conventional wisdom indicates that year-over-year declines are going to be present for the remainder of the year, given the low inventory situation in most markets. Demand is certainly present and has created competitive situations that have kept prices up. Rental prices are also up, which may lure more toward homeownership.

"New Listings in the Chattanooga region increased 2.3 percent to 1,271. Pending Sales were up 15.7 percent to 949. Inventory levels shrank 19.8 percent to 3,732 units.

"Prices were fairly stable. The Median Sales Price increased 6.1 percent to $167,000. Days on Market was down 21.3 percent to 59 days. Sellers were encouraged as Months Supply of Inventory was down 27.0 percent to 4.6 months.

"As inventory continues to drop, the contradictions of today's market are evident. Sellers should feel confident enough to list homes at fair prices and receive meaningful offers in a healthy residential real estate and overall economic environment. However, there may be lingering worry over the
availability of move-in ready homes to replace what was sold. On a brighter note, building permits are trending upward. That news should be weighed against the fact that the highest level of activity is in multi-family rentals."