Buyer Demand Fuels Hot First Quarter for Middle Tennessee Housing Market

NASHVILLE, Tenn. (April 7, 2016) – There were 3,141 home closings reported for the month of March, according to figures provided by the Greater Nashville Association of REALTORS®. This figure represents a 10.7 percent increase compared to the 2,837 closings in March 2015.
     Data for the first quarter of 2016 showed 7,601 closings, up 10.1 percent from the 6,904 closings during the first quarter of 2015.

     "Home sales performed well in the Nashville area in March, rounding out a solid first quarter in the market," said GNAR President Denise Creswell. "We experienced double-digit increases for both the month of March and the first quarter, compared to 2015. Each of the nine counties in our reporting area saw increases in residential sales for the quarter; all but one had increases in residential median price, as well."

     A comparison of sales by category for March is:

  March 2015 March 2016
CLOSINGS 2,837 3,141
 Residential 2,313 2,591
 Condominium 334 344
 Multi-Family 27 24
 Farms/Land/Lots 163 182

     A comparison of sales by category for the first quarter/year-to-date is:

  Q1/YTD 2015 Q1/YTD 2016
CLOSINGS 6,904 7,601
 Residential 5,599 6,296
 Condominium 799 831
 Multi-Family 58 69
 Farms/Land/Lots 448 405

     There were 3,285 sales pending at the end of March, compared with 3,083 pending sales at this time last year. The average number of days on the market for a single-family home was 64 days.

     The median residential price for a single-family home during March was $245,000 and for a condominium it was $181,894. This compares with last year’s median residential and condominium prices of $222,400 and $171,831, respectively.

      Inventory at the end of March was 11,951, down from 12,775 in March 2015. The current inventory of properties by category, compared to last year, is:

  March 2015 March 2016
INVENTORY 12,775 11,951
 Residential 8,235 7,926
 Condominium 867 773
 Multi-Family 116 84
 Farms/Land/Lots 3,557 3,168

     "Spring is typically the official kickoff of the housing market's busy season, however our market was busy way before that. Given the continued low interest rates and pent-up buyer demand, don't expect a slowdown anytime soon," said Creswell.
     "According to the most recent jobs report, 215,000 jobs were added in March. Continued growth in the job sector boosts consumer confidence and adds more potential buyers and competition to the marketplace. All buyers should be prepared to act swiftly upon finding the right property and to face multiple offers in some situations. Working with a Realtor helps buyers to navigate our fast-paced market."

     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.