Tri-Cities area home prices continue climbing, sales down

GRAY, Tenn. – July’s Tri-Cities area home sales were down from last year while prices continued their roller-coaster ride. One example of that ride is the Piney Flats average existing home sales price was over a half-million dollars. 

July city and submarkets sales, prices

“Last month’s closings were 17 percent lower than last year. And for the first time this year, they were lower than the pre-pandemic benchmark year. That’s important because it’s a comparison to our normal market before the craziness of the pandemic and early post-pandemic years,” Rick Chantry, president of the Northeast Tennessee Association of Realtors (NETAR), said. 

“While higher prices and mortgage rates plus inflation concerns have slowed sales a little, it hasn’t affected prices,” he added. July’s typical price was 19.5% higher than last year and up $5,656 from June. 

There were 793 closings in July. That’s 47 fewer than June and 162 fewer than July last year.  

July’s typical existing home sales price was $244,900. That’s $5,000 more than in June and $39,900 more than July last year.  

Active inventory continued advancing at a snail’s pace last month and is almost at last year’s level. At the end of July, the region had 1.5 months of inventory. That was an additional 151 listings from the previous month.  

The typical home sale that closed in July was on the market for 44 days. The average listing went under contract in two weeks or less. Those two demand indicators were unchanged from June. 

Chantry said sales continue to be driven by new residents and organic pent-up demand. The region’s Millennials are in their prime home-buying years and anxious for their first home or their first trade-up for those who bought earlier. “That means we are experiencing a market that is slowly coming off its torrid pace but remains very competitive.” 

Sales in the region’s 16 city and community submarkets were down with two exceptions – Piney Flats and Bristol, TN. 

July’s median sales price was up in all submarkets except Bristol, TN. 

Last month, the average sales prices in two markets – Piney Flats and Jonesborough – set new highs.  

The average in Piney Flats was $533,700. That’s not a skewed number by a few high-end sales. Ten of Piney Flats’ 22 July existing home sales were in the $500,000 and up price range. 

The average in Jonesborough was $409,350. That submarket had 10 of its 48 sales in the $400,000 and up price ranges. 

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