September 2023 Local Housing Market Statistics
September means cooling temperatures, and with it, a somewhat cooling housing market. Nationally, sales of existing homes recently fell to a 7-month low, as surging borrowing costs, rising sales prices, and limited inventory continue to keep many wouldbe buyers out of the market. Borrowers have become increasingly sensitive to fluctuations in mortgage rates, which have remained above 7% since mid-August. With fewer buyers able to afford the costs of homeownership, existing-home sales declined 0.7% month-over-month and were down 15.3% year-over-year, according to the National Association of REALTORS®(NAR).
Across the country, prices have continued to increase this fall despite softening home sales as a lack of inventory has kept the market competitive for prospective buyers, sparking bidding wars and causing homes to sell for above asking price in some areas. Heading into September there were only 1.1 million units available for sale, 0.9% fewer than a month ago and 14.1% fewer than the same period last year, according to NAR. As a result, the U.S. median existing-home sales price rose 3.9% year-over-year to $407,100, marking the third consecutive month that the median sales price topped $400,000.
Looking locally, New Listings in the Chattanooga region decreased 6.4% from September 2022 (1,204) to 1,127. Pending Sales were down 9.3% from September 2022 (903) to 819. Inventory levels shrank 11.5% from September 2022 (2,244) to 1,986 units. Prices continued to gain traction. The Median Sales Price increased 5.0% from September 2022 ($306,500) to $321,900. Days on Market was up 29.2% from September 2022 (24 days) to 31 days. Buyers felt empowered as Months Supply of Inventory was up 4.5% from September 2022 (2.2 months) to 2.3 months.
Whether you’re looking across the state or the country, real estate markets can vary greatly. This is why the expertise of a REALTOR® is so crucial. REALTORS® not only have a deep understanding of the current market conditions but also possess insights into potential future trends. REALTORS®, with our extensive training, experience, and adherence to a strict code of ethics demonstrate we can help guide through the complexities of real estate transactions. By leveraging a REALTOR®’s expertise, homebuyers and sellers can make informed decisions, helping to optimize your most valuable investment and minimize potential risks. That’s Who We R®.
Founded in 1912, Greater Chattanooga REALTORS® is the voice for real estate in Greater Chattanooga. A regional organization with more than 2,700 members, Greater Chattanooga REALTORS® serves Hamilton and Sequatchie counties in southeast Tennessee and Catoosa, Dade, and Walker counties in northwest Georgia. The Association is one of approximately 1,100 local associations/board of REALTORS® nationwide that comprise the National Association of REALTORS®. Greater Chattanooga REALTORS® owns and operates a Multiple Listing Service (MLS), which is one of approximately 600 MLSs in the country and services more than 3,000 MLS users. Local Association membership is comprised of REALTORS® servicing the Greater Chattanooga area and specializing in a variety of disciplines – appraisal, commercial, industrial, land, multi-family, property management and residential. Working alongside REALTORS® are our Affiliate members, who represents related industries in sympathy with the objectives of the Association. Our Affiliate members include mortgage lenders, home inspectors, title and closing services, pest inspection and control and insurance.