Introduction 🏡 Discover the latest trends in the summer real estate market, where higher mortgage rates, limited housing inventory, and skyrocketing prices are changing the game.
Section 1: Impact of Mortgage Rates 📈 The average 30-year fixed-rate mortgage has stayed above 6.5% since May, reaching a high in August not seen in the past two decades. How is this affecting market activity? Let’s dive deep!
Section 2: Slowing Home Sales 📉 According to the National Association of REALTORS® (NAR), nationwide existing-home sales have declined by 2.2% month-over-month and a concerning 16.6% compared to the same period last year.
Section 3: Local Market Insights (Chattanooga Region) 🌎 Diving deeper into regional impact, Chattanooga has seen a significant market shift with an 11.4% decrease in new listings, 8.8% drop in pending sales, and a sharp 16.3% decline in inventory levels.
Section 4: Rising Prices 💰 Even amidst these fluctuations, home prices continue to soar, with a 10.0% increase in the median sales price, reaching $330,000. Moreover, the average days on the market has spiked by an astounding 87.5%.
Section 5: Limited Supply and Competition ⚖️ The market has been grappling with limited home supply, registering a 14.6% decrease in available properties compared to last year. This dearth is fueling competition and driving sales prices further up.
Conclusion 📈 Despite the dip in home sales, the real estate market continues to be in favor of sellers, thanks to record-high prices and a tight supply marking tough competition for available homes.