Knoxville real estate snapshot: With home prices still rising, will growth ever slow down? – Knoxville News Sentinel

More homes sold in June than in May in the Knoxville metro area, but many homes are selling for over asking price. 

Sales increased in June, driven by the typical inventory boost in spring, said Hancen Sale, governmental affairs and policy director for the Knoxville Area Association of Realtors. 

“Coupled with persistently low mortgage rates, the boost in inventory really propelled the housing market forward this month,” Sale said. 

The number of over-asking price offers decreased in June, in part because sellers are raising listing prices because of demand. 

“Prices are still rising at rates we’ve not seen in a long time,” Sale said. “This rapid price growth isn’t sustainable in the long term, so I expect we will see price growth decelerate a bit as the year progresses — back to some sort of above-average normality.”

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Home sales for the month of June

Looking at the month of June as a whole, seasonally adjusted home sales were up 19.7% compared to May. Almost 43% of homes sold in June went for listing price or higher, and more than 6% of homes sold in June went for $10,000 or more over asking price. 

Number of listings sold 

  • June 2021: 2,232
  • June 2020: 2,025
  • Percentage change: 10.2%

Median sale price

  • June 2021: $275,000
  • June 2020: $226,500
  • Percentage change: 21.4%

Sale-to-list price ratio

  • June 2021: 100.2%
  • June 2020: 96.6%
  • Percentage change: 4.1%

Median days on market

  • June 2021: 4
  • June 2020: 14
  • Percentage change: -71.4%

Home sales for the week of July 4

Active listings, or number of listings on the market in the Knoxville Area during the time period: 2,191 (2,125 previous week)

New pending sales, or number of listings that went from active to pending during the time period: 577 (611 previous week)

Median days on market during the time period: 5 (5 previous week)

New listings added during the time period: 577 (621 previous week)

Median list price for new listings added during the time period: $285,000 ($299,000 previous week)

Business in Knox County through July 14

Knox County Register of Deeds Nick McBride said activity continues to reveal a healthy real estate market. He recorded 16 new subdivisions or divisions of property last week and only two foreclosures. Four additional warranty deeds were recorded in comparison to the week prior, but large value sales were not as strong. Last week, six properties sold for $1 million or more. 

This is a snapshot of business in Knox County through July 14.

Foreclosures

  • 2021: 48
  • 2020: 93
  • Percentage change: -48.39%

New subdivisions or divisions of property

  • 2021: 296
  • 2020: 302
  • Percentage change: -1.99%

Number of mortgages                            

  • 2021: 15,932 
  • 2020: 12,631
  • Percentage change: 26.13%

Value of mortgages

  • 2021: $4,472,032,939
  • 2020: $3,289,325,817
  • Percentage change: 35.96%

Number of sales                      

  • 2021: 8,107                                  
  • 2020: 6,872                                      
  • Percentage change: 17.97%

Value of sales

  • 2021: $2,620,127,443
  • 2020: $1,982,200,946
  • Percentage change: 32.18%

Property sales by value for the week of July 14

  • More than $1 million: 6
  • $900,000-$999,999: 1
  • $800,000-$899,999: 3
  • $700,000-$799,999: 5
  • $600,000-$699,999: 10
  • $500,000-$599,999: 12
  • $400,000-$499,999: 23
  • $300,000-$399,999: 56
  • $200,000-$299,999: 78
  • $100,000-$199,999: 52
  • Up to $99,999: 23

Growth and development editor Brenna McDermott can be reached at brenna.mcdermott@knoxnews.com. Follow along with her work on Twitter @_BrennaMcD. Support our local news efforts by becoming a Knox News subscriber

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