--- Visit Erika's Links ---
I'm hearing Britney Spears song "Gimme More" as I think about the amount of homes on the market. For years, Buyers haven't had enough choices and the cap on inventory has helped fuel our incredible home price growth -- even putting a floor on any potential for a crash. It's good news for those of us already living here, but it's also good for us to have more homes on the market than what we've had. More choices bring more Buyers. Could we be at a turning point where we are about to receive?
Some backstory on our low inventory plaguing our Real Estate market since before 2019. I remember everyone whining about there not being enough homes on the market back then! This chart below shows where we have been in recent years in comparison, with the red dotted line representing 2019:
The green dotted line shows where are this year, up to the most recently released inventory numbers. You can see locally, we're still trailing behind last year. But May *could* end up being the month where we surpass 2023 and 2022. We'll know those numbers in about 2 weeks.
For now, some of the national numbers are already showing a HUGE bump in inventory -- the number of existing homes (not new construction) on the market are up more than 16% year-to-year, from April 2023 to April 2024.
There are more homes on the market across the United States right now than any time since August 2020.
But if you've been following me for a while, you'll remember me saying our local numbers hardly ever sync up with the national reports. Williamson County is so much more insulated in Real Estate that the good news nationally is always magnified here locally. And the bad news nationally is rarely as bad here -- by a long shot.
In Williamson County
Year-to-year in April, we not only have more Active Inventory, but a higher amount of homes Under Contract and Closed.
Days on Market have gone down from 36 to 30 - which means from the day your home hits the market to getting Under Contract, the average time for that phase is 30 days, as of the end of April.
Along with this, our Median AND Average home prices county-wide have increased by 14% to this:
- Williamson County MEDIAN Home Sales Price, as of April 2024: $988,840
- Williamson County AVERAGE Home Sales Price, as of April 2024: $1,252,173
Here is how that looks in comparison to previous years, with the blue dotted line representing 2024 so far:
Williamson County by Community
The communities across Williamson County vary in values. Here is where they all land in Median sales prices as of the end of April 2024:
- Spring Hill: $590,000
- Fairview: $681,915
- Thompsons Station: $739,100
- Franklin: $974,995
- Nolensville: $1,000,000
- Arrington: $1,148,033
- Brentwood: $1,375,000
- College Grove: $1,750,000
The Grassland area, between Franklin and Brentwood, has a median sales price of $990,000 and an average of 26 Days on Market.
Of all the Grassland homes Closed in April, here are links to the homes as well as their neighborhood stats for that month:
- 1 home sold in Brentwood Pointe, $495,000
- 6 homes sold in Fieldstone Farms, $773,667 average
- 1 home in Hillsboro Acres, $775,000
- 3 homes sold in Cottonwood, $874,967 average
- 1 home in Monticello, $985,000
- 1 home sold in Cornerstone, $1,200,000
- 1 home sold in Timberline, $1,200,000
- 1 home sold in Whitehall Farms, $1,300,000
- 1 home sold in Gardens at Old Natchez, $1,343,000
- 2 homes sold in Echo Park, $2,016,750 average
- 1 home in Hidden River, $4,395,000
- 1 home sold in Deerfield, $8,450,000
- 1 home sold in Bella Vista, $9,700,000
Greater Nashville at a Glance
While not as robust of a price increase as Williamson County, Greater Nashville has seen its own impressive gains in median sales prices year-to-year. Home prices have increased by 6% to a median of $465,000.
As of the end of April, inventory in Greater Nashville has increased by 16%, mirroring the national trend. However, the rest of Nashville's performance is suggesting increased competition among Buyers this spring:
- Days on Market have decreased to 27
- Closings have increased by 8%
The Big Picture
An increase in inventory is not always an indicator of something bad to come. Every year at this time of year, inventory rises (see first graph in this post). What we're looking for is if we can maintain the boost from Spring into Summer and Fall.
In April, mortgage applications for new homes increased by 22% year-over-year. This is a leading indicator that more Buyers are entering the market as Sellers start giving them more options. By the end of April, the Mortgage Bankers Association had beat its year-over-year applications for 15 consecutive months. This means for the past 15 months now, we have been seeing an increase in mortgage applications from the same month a year prior. This shows stability in the Buyer pool and gives us insight to Buyers frame of mind.
Speaking of stability, mortgage interest rates are hanging in 7% bracket -- where they've been for several months. Sure, we've had weeks here and there where they've dipped into the high-6% range for the most part, but generally speaking, they're nothing to write home about. But again -- consistency. Buyers find comfort in consistency and in times when interest rates are NOT falling, the next best thing is to stay the same.
The Fed continues to be a point of discussion as their decisions have a ripple effect on mortgage interest rates -- and the story stays the same -- PCE Prices released this Friday are expected to hold firm. Analysts now believe there's a pretty good chance that the federal funds rate will stay the same at least through September, which won't likely affect mortgage interest rates -- long term anyway.
Overall, I think a lot of Americans are getting the idea that not much is budging soon. And we can't put off life events forever -- people change jobs, have babies, divorce, marry, kids leave the nest and death is a factor. It's encouraging to see more Sellers hitting the market. The more Sellers come off the sidelines, the more Buyers will, which helps make a healthier market.
Thinking of moving? Need a plan tailored to your needs? I'd love to help you. I'm a Franklin resident and a Multi-Platinum Award-Winning Williamson County REALTOR ranking in the top 1.5% of agents locally. I am a top producer within Benchmark Realty, the largest brokerage in Tennessee and among the largest in the country. My continuing education includes several designations and my experience keeps me up-to-date with fast-changing market trends. I am a Million-Dollar GUILD Member of the Luxury Home Marketing Institute, my market insights are regularly featured in broadcast media, and my success planted me on the front page of a December 2021 Nashville-area Magazine. But most importantly, I specialize in helping my friends and neighbors buy and sell homes. Why look further when you've got a friend and neighbor who is among the best in the business!
Comments