Mortgage Rates Drop in Past Month from Summertime High
Home sales in Chattanooga have declined 13.7% so far in 2023 compared to near-record highs in 2022, but median home prices have increased. According to new sales figures compiled by the Greater Chattanooga Association of Realtors and reported by staff and wire reports, the decline in home sales was not as severe in the Chattanooga market.
In October, home sales in Chattanooga were up nearly 3% from September’s total. Despite the 13.7% drop in home sales in the first 10 months of the year compared with a year ago, October home sales were not as severe as the 14.6% decline in home sales nationwide, according to the National Association of Realtors.
The inventory of houses on the market in Chattanooga has been increasing due to new homes being built, such as the ones shown last month being listed by Caldwell Banker Realtors on Black Creek Mountain. Median home prices in Chattanooga have increased to $315,000, and the market seems to be holding up well despite the drop in sales.
Sales of previously occupied U.S. homes slumped in October to their slowest pace in more than 13 years as higher mortgage rates and rising prices have kept many prospective homebuyers on the sidelines. However, mortgage rates have dropped in the past month from the summertime high, which could potentially lead to an increase in homebuyers entering the market.
The recent trends in the real estate market reflect changes in consumer behavior and market conditions. With the fluctuation of mortgage rates and the rise of housing prices, homebuyers and sellers will need to adapt to the evolving market landscape in Chattanooga and nationwide.
Overall, although there has been a decline in home sales, the real estate market in Chattanooga is showing resilience through the rise in median home prices and the continued construction of new homes, which is contributing to the inventory of available houses.