MARKET PULSE – $1 million housing market off to good start
The regions’ million-dollar home sales club kicked off 2024 with four sales. It would have been six, but two dropped below the $1 million mark when owners reduced their asking prices to close the deals.
The top sale was in The Ridges for $1,385,000. The five-bedroom new construction was a cash sale that closed after the list price was discounted $110,000. Right behind it was another Jonesborough sale for $1,255,000. Rounding out the month was a $1.1 million deal in Sullivan Co. and a $1 million sale in Mountain City.
All the million-dollar plus sales were price reductions. The average was $284,944.
At mid February there were 63 area listing for properties with an asking price of $1 million or more.
Luxury sales in the $500K and up price ranges are off to what looks to be a solid start even though sales are down 25% from this time last year. The solid start outlook is based on a 3.8% increase in pending sales, a 31% increase in active inventory and an 8.1% increase in new listings.
The average price for last month’s $500K and up sales was $647,766.
Nine of the sales were cash deals, two had VA loans, and the rest were financed with conventional loans.
More than half (69%) had price reductions that averaged $25,609.
The local luxury market was up 5.3% last year with 808 sales.
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