Steve Jolly - The REO Expert for Greater Nashville

There were 2,145 home closings reported for the month of April, according to figures provided by the Greater Nashville Association of REALTORS®.  This represents an increase of 33.7 percent from the 1,604 closings reported for April 2009.

Year-to-date closings are up compared to last year with 6,337. That is an 18 percent increase compared to the 5,366 closings reported through April 2009.

“For the seventh consecutive month, home sales in Greater Nashville have increased,” said GNAR President Lucy Smith. “Stable prices for single family homes and condominiums paired with an increase in pending sales create a hopeful sign as we move into the summer selling season.”

“Many people may be wondering about the impact the recent flooding could have on the real estate market. Clearly, the damage and loss is significant in both downtown commercial and area residential property. There may be a brief impact, but there is likely to be continuing sales activity throughout Middle Tennessee. And, the exceptional job of response by both area volunteers and community leaders confirms that Greater Nashville will continue to attract companies and families. The true heart of this city has been revealed to people around the country and what they are seeing is very compelling,” Smith said.

A comparison of sales by category for April is:

There were 2,505 sales pending at the end of the month, compared to the 1,865 pending sales at this time last year. The average number of days on the market for a single-family home was 87 days.

The median residential price for a single-family home during April was $164,950 and for a condominium it was $143,950. This compares with last year’s median residential and condominium prices of $164,500 and $149,900, respectively.

Inventory at the end of April was 24,352, down slightly from 24,408 in 2009. The current inventory of properties by category, compared to last year, is

“Inventory remains stable, down only slightly from where it was a year ago,” Smith added.  “Residential and condominium inventory levels are both up from where we were last year, with farm, land and lots down. The increase in home sales over the past several months proves people are continuing to make Middle Tennessee their home. Even with the expiration of the home-buyer tax credit, low mortgage rates and median prices make this an ideal time to purchase in Greater Nashville.”

The Greater Nashville Association of REALTORS® is one of Middle Tennessee’s largest professional trade associations and serves as the primary voice for Nashville-area property owners.  REALTOR® is a registered trademark that may be used only by real estate professionals who are members of the National Association of Realtors and subscribe to its strict code of ethics.

There were 1,851 home closings reported for the month of March 2010, according to figures provided by the Greater Nashville Association of REALTORS®. This figure represents a 21.6 percent increase compared with 1,521 closings in March of 2009. 

Numbers for the first quarter of 2010 were 4,192 closings, up 11.4 percent from the 3,762 closings during the first quarter of 2009.

“Having the number of home closings in Greater Nashville increase more than 21 percent from this time last year is a very encouraging sign,” said GNAR President Lucy Smith. “This makes six consecutive months or two consecutive quarters of positive figures for home sales, which is very good news. It is also good to see the median residential price remaining stable.”

“The tax credit deadline of April 30 for contracts, with closings by the end of June, has certainly been responsible for much of the sales activity.  It is reasonable to expect many transactions are being seriously considered right now to take advantage of the tax credit, so it is likely that the positive trends will continue at least though the spring and early summer,” Smith continued.

There were 2,231 sales pending at the end of March, compared with 1,731 pending sales at this time last year.  The average number of days on the market for a single-family home was 92 days.

The median residential price for a single-family home during March was $159,250 and for a condominium it was $137,450.  This compares with last year’s median residential and condominium prices of $158,000 and $155,704, respectively.

Inventory at the end of March was 24,123, up slightly from 23,886 in March 2009. 

The U.S. Department of Housing and Urban Development has announced that the Metropolitan Development and Housing Agency, in a consortium established with The Housing Fund, Urban Housing Solutions, the Woodbine Community Organization and Pinnacle Financial Partners, has been awarded nearly $30.5 million in new funding. Nashville was the only Tennessee city to receive an award in the highly competitive national program. According to HUD, funding was awarded "to applicants who developed the most innovative ideas to rebuild local communities, while demonstrating that they have the capacity to be responsible stewards of taxpayer dollars." "This was a very competitive process and I'm delighted that Nashville's proposal was chosen," said Mayor Karl Dean. "This means new affordable housing, getting abandoned homes and neighborhoods reoccupied, and putting people to work." The funding will be used for three primary activities:

•The purchase and rehabilitation of residential properties that have been abandoned or foreclosed.

•The establishment of a financing mechanism for low- to middle-income homebuyers of foreclosed properties

•The redevelopment of vacant properties as housing. A significant component of the groups' efforts will be the development of 140 units of affordable new multi-family rental housing.

"The Housing Fund, Urban Housing Solutions, the Woodbine Community Organization, Pinnacle Financial Partners, Vanderbilt University's Center for Community Studies, and MDHA collaborated on this successful proposal. These are great partners to have – experienced, creative, and dedicated to this city,” said MDHA Executive Director Phil Ryan.

First-time homebuyers taking advantage of tax credit continue to stimulate sales

There were 1,973 home closings reported for the month of November, according to figures provided by the Greater Nashville Association of REALTORS®.  This figure is up 58.7 percent from the 1,243 closings reported for the same period last year.

Year-to-date closings through November are 19,571, a 14.3 percent decrease from 2008 when 22,824 closings were reported through November.

“The number of home closings being so high in November is due largely to the first-time homebuyer tax credit. No one knew whether the original deadline would be extended, so many people chose to act on the opportunity to purchase a home,” said GNAR President Mike Nichols.  “The high amount of activity at the first-time buyer level is likely to continue and it may now help create some move-up activity since the tax credit has now been expanded beyond just first-time buyers."

"The impact of these home sales goes well beyond the actual real estate transaction," Nichols continued. "Those who purchase homes are very likely to make other purchases for their homes like appliances, furniture, floor and wall coverings, lawn equipment and other decoration and improvement items. That is great news for the local and regional economy."

There were 2,064 home closings reported for the month of August, according to figures provided by the Greater Nashville Association of REALTORS®. This represents an 9.2 percent decrease from the 2,273 closings reported for the same period last year. Year-to-date closings for the Greater Nashville area have decreased 23.8 percent. There were 13,518 closings, compared with 17,758 closings reported through August of last year.

There were 2,181 sales pending at the end of August, compared with 2,149 pending sales at this time last year.  The average number of days on the market for a single-family home was 88 days.

The median residential price for a single-family home during August was $160,000, and for a condominium it was $147,900.  This compares with last year's median residential and condominium prices of $177,500 and $162,500, respectively.

Inventory at the end of August was 24,404, down from 24,975 in August 2008.

“The number of closings has stabilized in recent months and it is encouraging that we have exceeded 2,000 sales for the third consecutive month,” said GNAR President Mike Nichols. “The median price has decreased, primarily as a result of short sales and foreclosures, which makes the current real estate market a good one for investors. It is also reasonable to expect that some first-time buyers will act soon to take advantage of the $8,000 tax credit before it runs out December 1, 2009.”

There were 2,214 home closings reported for the month of July, according to figures provided by the Greater Nashville Association of REALTORS®. This represents an 11 percent decrease from the 2,488 closings reported for the same period last year.

Year-to-date closings for the Greater Nashville area are 11,454. That is a decrease of 26 percent from the 15,485 closings reported through July 2008.

"There were more than 2,000 closings in July, which makes two consecutive months at that level. And, there are more than 2,000 sales pending for the third consecutive month, which creates a positive outlook for next month, as well," said GNAR president Mike Nichols. "Clearly, sales continue to decrease, but it is encouraging to see the rate of that decline improve so dramatically since the beginning of the year."

 There were 2,147 sales pending at the end of July, compared with 2,394 pending sales at this time last year.  The average number of days on the market for a single-family home was 87 days.

The median residential price for a single-family home during July was $171,100, and for a condominium it was $142,146.  This compares with last year's median residential and condominium prices of $179,995 and $162,900, respectively.

Inventory at the end of July was 24,592, down from 25,023 in July 2008. 

"Value is one of the most significant terms for potential home buyers right now. There is a good amount of inventory available, though slightly less than last year. And, prices are lower than a year ago," added Nichols. "It is important to be aware that interest rates have shown some upward trends recently and the $8,000 tax credit is scheduled to end soon. So, those who are considering the purchase of a home may want to consider acting before circumstances change and costs increase."

Existing-home sales rose for the third consecutive month with inventory easing and home prices declining less sharply in June, according to the National Association of Realtors®.

Existing-home sales – including single-family, townhomes, condominiums and co-ops – increased 3.6 percent to a seasonally adjusted annual rate¹ of 4.89 million units in June from a downwardly revised pace of 4.72 million in May, but are 0.2 percent lower than the 4.90 million-unit level in June 2008.

Lawrence Yun, NAR chief economist, is hopeful about the gain. “The increase in existing-home sales occurred in all major regions of the country,” he said. “We expect a gradual uptrend in sales to continue due to tax credit incentives and historically high affordability conditions. Despite the rise in closed transactions, many Realtors® are reporting lost sales as a result of new appraisal standards that went into effect May 1 of this year.”

Total housing inventory at the end of June fell 0.7 percent to 3.82 million existing homes available for sale, which represents a 9.4-month supply² at the current sales pace, down from a 9.8-month supply in May.