HOME SALES DECLINE, HOME PRICES CONTINUE TO RISE

There were 1,745 home closings reported for the month of July, according to figures provided by the Greater Nashville Association of REALTORS®. This represents a 21 percent decrease from the 2,214 closings reported for the same period last year.

Year-to-date closings for the Greater Nashville area are 12,768. That is an increase of 11.5 percent from the 11,454 closings reported through July 2009.

“The tax credit helped drive nine consecutive months of increased home sales,” said GNAR President Lucy Smith. “Without it, we are beginning to see the new normal of the real estate market. The good news is there were more than 1,700 closings in July and home prices have increased slightly. The increase in prices shows stability and confirms the value of owning real estate. Until the overall economy strengthens and employment numbers increase, it is appropriate to expect some softness in the real estate market both nationally and regionally. Fortunately, Greater Nashville remains better positioned to address these trends compared with many other locations throughout the country.”

A comparison of sales by category for July is:

	July 2009	JULY 2010
CLOSINGS	2,214	1,745
Residential	1,861	1,463
Condominium	273	179
Multi-Family	21	25
Farms/Land/Lots	59	78

There were 1,667 sales pending at the end of July, compared with 2,147 pending sales at this time last year. The average number of days on the market for a single-family home was 85 days.

The median residential price for a single-family home during July was $181,000, and for a condominium it was $149,990. This compares with last year’s median residential and condominium prices of $171,100 and $142,146, respectively.

Inventory at the end of July was 24,258, down from 24,592 in July 2009. The current inventory of properties by category, compared to last year, is:

	July 2009	JULY 2010
INVENTORY	24,592	24,258
Residential	14,916	15,172
Condominium	2,614	2,417
Multi-Family	412	430
Farms/Land/Lots	6,650	6,239

“Though slightly less than this time last year, inventory has increased over the past several months,” added Smith. “Buyers continue to have a good variety from which to choose in a variety of locations throughout the region. The strong amount of inventory combined with historic low interest rates makes this a very attractive time to consider purchasing a home.”

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.