Notice the spike in average price per square foot during March and September.
Average price stayed between $180 and $220 throughout the remainder of the year.
Days on market dipped from February to May and peaked during October and November.
Despite the outlier in June – notice the increase during the 4th quarter.
Despite the outlier in July – days on market stayed relatively close to 100 days during 2020.
Have a look at the year-end 2020 graphs below. It’s very interesting to look at the average price and days on market correlation over the last 4 years. Days on market is flat from 2019 to 2020, after a 20% decrease in both 2017 and 2018. While the average price continues to increase by 23% from 2019 to 2020, after an increase of 11% from 2018 to 2019, and a 10% increase from 2017-2018.
Average land prices increased year over year from 2017 – 2020; 15% 2017 – 2018, 17% 2018 – 2019, and 16% 2019 – 2020.
“Many experts are predicting another strong housing market in 2021. They are forecasting increased demand from buyers who delayed purchasing homes because of the pandemic; from existing homeowners who need larger spaces to accommodate parents working from home and children attending school virtually; and from condo owners who are seeking to escape multifamily buildings for single-family houses to mitigate exposure to the virus. The ability to tour homes and close on purchases virtually will make buying a home simpler in 2021.”
You can read the full Washington Post article here.
Check back with us here on the first Saturday of each month to get the latest Smoky Mountain Real Estate stats.
*Note: statistics collected using the Bluff Mountain, Chalet Village, Cobbly Nob, Douglas Lake, Gatlinburg, Jones Cove, Kodak, New Center, Pigeon Forge, Pittman Center, Sevierville, Seymour, and Wears Valley areas.
Below is the market report for December. Next week we’ll share a year-end report. The year-end report will provide yearly graphs focusing on days on market and average price.
Residential
Land
Each year the Home Buying Institute analyzes current real estate market trends and conditions across the United States to offer a forecast for the upcoming year. This year there are lots of things to consider.
Below are the top five predictions for the 2021 real estate market.
1. Home prices will continue rising in most U.S. cities.
2. Housing market inventory will remain tight in 2021.
3. Home sales will remain steady going into next year.
4. Mortgage rates will hover around 3% next year.
5. It will be another good year for refinancing.
Click here to read the full article.
Overall, Yun said he felt confident that home prices would maintain their stability throughout the pandemic, but he did not anticipate that prices would soar, “particularly in the second half of the year.”
What might the future hold? Yun predicts that home sales could be 20 percent higher in the third and fourth quarters compared to the prior year. Additionally, he sees home sales rising more than 5 percent, possibly 10 percent, in 2021, as a vaccine becomes available and possibly leads to faster job growth with still favorable mortgage rates, which should stay near 3 percent.
Buffini said that for the next three years, as interest rates stay low per the Federal Reserve’s guidance, real estate professionals should put in extra efforts and make sales, even buying the very assets they sell.
You can read the full article here.
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Average price has risen by 24% and by approximately $75,000 year to date.
Average price in Chalet Village is up by 22% month over month.
“We are simply facing a housing shortage, a major housing shortage,” says Lawrence Yun, the chief economist at the National Association of Realtors which tracks home sales. “We need to build more homes. Supply is critical in the current environment.”
“Housing inventory shortages have pushed national home prices considerably higher,” says Joel Kan, vice president of economic forecasting for the Mortgage Bankers Association.
“We have been under producing for the past decade,” Yun says. “We need more construction.”
According to Realtor.com’s Monthly Housing Market Trends Report:
Forbes reports, “For the first time since 2011, homes sold faster in October than September and prices remained at their summer peak of $350,000.”
“Realtor.com®’s October housing data release reveals that sellers returned to the market, as the decline in newly listed properties substantially improved…While the national price growth rate continued to accelerate to historical highs, larger metros saw a slight softening, signalling a small reprieve for buyers in this active autumnal season.”