Strong market absorbing limited townhome-condo inventory
Unlike the single-family existing home market’s slowly increasing active inventory the townhome and condo inventory is slowly declining. The sales price has increased by double digits like the single-family market.
There were 83 condo-townhome listings in Sept. last year. Last month there were 27. Two years of solid sales and very little in the way of new construction is squeezing inventory.
So far this year, 405 sales have closed. During the first nine months of last year, the closing count was 425 sales.
Currently, there are 0.6 months of inventory on the market that is experiencing a 178% absorption rate. Sept.’s median sales price was $145,000, a 7.6% improvement over last year. The year-to-date sales price is $145,494, up 12.1% from the first nine months of last year.
Buyers paid above the median list price during three of the past 13 months. The discount during the other months ranged from 5% to 3%. Sept.’s discount was 3.%.
Since last Sept, the median sales price has been from 3% to 7% above estimated values in all but one month. The exception was Dec. when sales were 91% of the estimated value.
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 1,600+ 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