Pending sales were down 6.9% across the Tri-Cities region in October and the Northeast Tennessee Association of Realtors (NETAR) Pending Sales Index dropped to a nine-month low.

Pending sales are a leading indicator of housing activity based on signed contracts for existing single-family home and condominium sales in the region monitored by NETAR. Since resales go under contract 30 to 60 days before they close, pending sales offer insight into the market’s direction.     

The pending sales market performance aligns with the broader Home Sales Report that shows sales are continuing their retreat toward a pre-pandemic level. Prices are also softening. They are outperforming last year, but the growth rate has slowed. The 10-month price trend is up 3.9% from last year.

Pending sales increased from last year’s levels in all three of the region’s markets by price range.

There were 270 in the affordable price range, up 5.5%.

Sellers accepted contracts on 284 homes in the move-up market price range, up 8%.

The luxury market has 89 pending sales, up 7.2% from last year.

Slower sales have allowed active inventory to increase by 27.6% in October. That’s the best it has been since 2020.