2021 Real Estate Market Statistics

Average list to Sale Price

We began the year with an average sales price of $465,516 and ended the year at an average price of $648,794. 

For a total increase of $183,278. 

 

 

Price per Square Foot 

We began the year at $227.78 a square foot and ended the year at $328.44 a square foot. 

For a total increase of $100 per square foot. 

We saw a consistent increase each month, except for the dip in October. 

 

 

Average Days on Market 

We began the year at 83 days on market and ended the year at 112 days on market. 

For a total increase of 29 days. 

We saw days on market dip under 80 days February through May, then we saw an uptick to 90+ days from September through November. Homes spend a considerable longer time on the market in December.

Great Smoky Mountains National Park – Most Visits Ever! 

The previous record was set in 2019 at $12,547,743.

Preliminary data for visits in 2021 sits at $14,141,272 visits!  Data will be confirmed at the end of the 1st quarter.
This is an increase of 16%, up $2,045,552, compared to $12,095,720 in 2020!

Records show Gatlinburg/Sugarlands, Oconaluftee, Townsend, and Look Rock were the most visited areas!

If you dig numbers – check out this chart which shows monthly visits to the park dating back to 1979!

December 2021 Sevier County Market Report

Homes

  • We saw an increase in Average days on Market, up from 91 days to 112 days.
  • Price per square foot saw a small increase from $320.44 in November 2021 to $329.83 in December 2021.
  • 27 more homes sold in December than in November.
  • Average Price rebounded with a punch – Homes sold for an average of $643,420 this month, up from $578,046 in November and $608,798 in October.

 

Land

  • 90 pieces of land sold during December
  • Average price saw another slight increase from $100,247 to $116,425 during the month of December.
  • Days on market saw a large reduction from 203 days in November to 133 days in December.

 

The city of Sevierville has recently updated some of their zoning restrictions. 

 

We were fortunate enough to have a chat with the City of Sevierville’s Senior Planner, Kristina Rodreick, below are the things we learned.

 

There have been updates to two zones, the Historic Residential Office and Medium Density Residential.

 

4 Streets in HRO zoning are now allowed to operate as short term rentals!

  • High
  • Eastgate
  • Park
  • Prince

 

MDR – 1 now requires a short term rental permit.

Permits operate on a notification system.

This means all homes within 100ft of your proposed Short Term Rental will be sent a notification via mail. The residents of these homes have one week to respond. If there is no response, or a positive one, the proposed home will then be approved for Short Term Rentals.

If there are any negative responses, a hearing will be held and the potential buyer will be able to present their case.

 

You can check the zoning area for a specific address here.

 

Let us know if this brings us and questions and we’ll do our best to coordinate with Kristina to get them answered.

November 2021 Real Estate Market Report

November Market Report

  • Average days on Market are holding steady at 91 days, down 7 days from 2020.
  • Price per square foot saw a slight increase from $288.40 in October 2021 to $320.44 November 2021, up 54% from last November.
  • 20 more homes sold in this year in November, than last year in November, from 235 to 255.
  • Average Price saw a slight reduction from $608,798 to $578,046 from October to November – we’ll keep a close eye on this and report back next month to let you know if we continue to see a trend. Average price is up 47% from last year!

 

November Real Estate Market Report - Homes

 

 

 

Land

  • The number of land sales fell from 78 during November of 2020 to 59 in November 2021.
  • Average price saw a slight decrease, from $107,935 to $100,247.
  • Days on market saw a 30% reduction from last year at 289 days to 203 days in November.

 

November Real Estate Market Report - Land

Balance to Return to the Housing Market?

Redfin Chief Economist Daryl Fairweather has made her predictions on the state of the housing market in 2022.

Fairweather forecasts that balance will return to the market next year, but not after a scramble to snatch up homes with buyers taking advantage of low rates who will deplete the supply in the first half of 2002. In the second half, new construction will boost sales slightly, as there will be 1% more sales than in 2021, and by the close of 2022, home price growth will slow to 3%.

Some of Fairweather’s for 2022 are as follows

Prediction #1: Mortgage rates will rise and prices will drop
Prediction #2: New listings will hit decade-long high, yet inventory issues will linger
Prediction #3: Rents will continue to ascend and rise by 7%
Prediction #4: Homebuyers will relocate to more affordable cities
Prediction #5: People will relocate to places that align with their politics
Prediction #6: There will be a renewed interest in condos

Click here to read more details about each prediction! 

Seller Profits Increase Across U.S. In Third Quarter!

ATTOM, curator of the nation’s premier property database, today released its third-quarter 2021 U.S. Home Sales Report, which shows that profit margins on median-priced single-family home and condo sales across the United States jumped to 47.6 percent – the highest level since the end of the Great Recession a decade ago.

The report indicates a  typical home sale across the country during the third quarter of 2021 generated a profit of $100,178 while the national median home price hit a record.

Cash sales at a six-year high! Nationwide, all-cash purchases accounted for 34 percent of all single-family house and condo sales in the third quarter of 2021, the highest level since the first quarter of 2015. The third-quarter 2021 number was up from 33.2 percent in the second quarter of 2021 and from 21.4 percent in the third quarter of last year.

Click here to read more about profit margins and home ownership tenure. 

Homes Sell At Top Speed In A Typically Cool Homebuying Season

Redfin reports that one third of homes sold in the four weeks went under contract within seven days of hitting the market. The rate has been on the rise for the past six weeks, which is unusual for this time of year when the market typically slows down.

Experts assume the market is heating up due to steady homebuyer demand, and this is proven by the fact home tours are up twice as much from January as they were this time of year in 2019. Still, homes for sale remain few and far between.

“Homes continue to sell quicker and quicker,” said Redfin chief economist Daryl Fairweather. “There are still plenty of homebuyers lying in wait who missed out during the Spring frenzy and they are snatching up homes quickly. Now those homes are selling for near-record prices. The housing market will likely stay hot until mortgage rates rise substantially.”

Key Takeaways:

  • One third of homes sold in the past four weeks went under contract within seven days of hitting the market.
  • 45% of homes that went under contract accepted an offer within the first two weeks on the market.

Read more about days on market and inventory here. 

The median home price just rose above $400,000 nationally for the first time ever! 

The median home price just rose above $400,000 nationally for the first time ever!

The median U.S. home price just passed $400,000 for the first time ever, according to data from the St. Louis Federal Reserve.

In the third quarter the median home price hit $404,700, jumping nearly 13% since third quarter of 2020, when the median sales price was $358,700.

A recent note from Goldman Sachs states home prices could rise another 16% by the end of next year, and the latest forecast by Fannie Mae, median home prices are expected to rise another 7.9% between Q4 2021 and Q4 2022.

“The housing shortage has contributed meaningfully to the record pace of home price appreciation we are currently experiencing,” Morgan Stanley strategists wrote in August. “While the magnitude of the shortage described above means it is unlikely that we will find ourselves with an excess of supply at any point in the near future, the pace at which supply is contracting has slowed.”

Read the rest of the article from yahoo!finance here.

Tennessee housing market analysis: State experiencing positive economic outcomes in wake of pandemic!

In a new economic report from Middle Tennessee State University, the state’s housing market continues to show signs of a continued recovery from the impact of COVID-19.

The MTSU Business and Economic Research Center’s statewide analysis for the second quarter showed mostly positive outcomes, with home sales increasing overall from the previous quarter and home prices up from the previous year across the state.

Housing prices for the U.S. and Tennessee seem to follow a pattern of exponential growth, while mortgage delinquencies inch closer to pre-pandemic levels, and foreclosures remain slightly above zero percent. Here are some takeaways from the report.

  • Among the major metropolitan statistical areas in Tennessee, all saw increases in home prices
  • Single-family and total home permits for Tennessee were more mixed. Single-family permits slightly fell by .2%, and total permits rose by 12% since Q1 2021. Both categories of permits saw significant increases since the second quarter of 2020. Single-family permits rose by 36% and total family permits rose by 44%.
  • Real estate transfer tax collections sharply increased from the first quarter by 24.5% and 68.5% over the year. Real estate transfer tax collections averaged $24 million
  • Mortgage tax collections increased from the previous quarter by 15%, while the yearly increase was 36.25%

Read the full article from the Nashville Business Journal here.

See the MTSU Jones College of Business Quarterly Housing Rep