It’s still a sellers’ market, but buyers see more bargaining power
Buyers are regaining some bargaining power as the local housing market continues slowly readjusting. Although sellers are not reducing their original listing prices yet, many are coming off the asking price to close a deal.
Last month 289 contracts went to closing at a price that was below the asking price. The average discount was $16,887. That’s in line with the discounts in September ($17,193) and August ($16,575).
The median listing price last month was $290,932, up from $290,000 in September. Sellers have been increasing it every month this year.
It’s still very much a sellers’ market in the NE Tenn. – SW Va. area and, given current conditions, will be that way for a while. But prices have been flat since May, when they peaked at $250,000. Last month the median was $232,000.
What’s happening is some sellers are looking at the market and recognizing that the price growth rate has run out of steam. They see they’re not going to get as much as they could last year, but what they can get is still pretty good compared to what they paid.
There are still properties that get multiple offers, and some sales go for more than the asking price. Last month there were 159 sales that went for more than the asking price. How much over buyers paid ranged from $100,000 to $100. There was only one sale with $100,000 above asking. The average was $8,891.
NETAR is the voice for real estate in Northeast Tennessee. It is the largest trade association in the Northeast Tennessee, Southwest Virginia region, representing over 1,800+ members and 100+ business partners involved in all aspects of the residential and commercial real estate industries. Weekly market reports and information for both consumers and members are available on the NETAR website at https://netar.us