Knoxville Home Sales Report: 2014 Year End Wrap Up

Here are a couple of charts to wrap up the year that was 2014.  As fun as it is to track sales and pricing on a monthly basis, I think it's also good to pull back a little bit and get the big picture at the end of long, hard year. And even though sales were sometimes down year over year (and month over month) in 2014, you can see by this first chart that still made some nice progress in closed units in 2014. Please to enjoy:

 

And just so y'all know I'm not talking out of my nether regions when I blog about these numbers, here was my prediction about sales in 2014 (AHEM):

Well, I see it as a recovery/leveling off year. We’ve already had ... the start of a good recovery (rising sales, rising prices). Sales may rise a little more, but we can only go so high before we hit bubble territory again, so leveling out will not be a bad thing this year in terms of units sold.

So..yeah. BOO YAH. 

This next chart shows the yearly average price of a 3 bedroom home:

 

As you can see, we had another significant rise in average sales price for 3 BR homes in 2014, almost leveling off with 2009, which is not a bad, slightly pre-bubble, not top of the bubble place to be. So, this chart is something to be happly about. And what did I say about pricing in the 2013 wrap up? I can remember....Wait! I've got it:

Prices still have some correcting to do, and I expect (or hope) for that to contine in 2014. But again, we don’t want prices to get so high that we create more bubble-like conditions.

BOOM. And I stand by the fact that we still don't want prices to get too high (as much as sellers would love that). What we want, is to get back to a nice, heathly, even market. And I think we're just about there. Seriously. 

So what are my predictions for 2015?  I see it being a leveling off year on almost all levels. Sales have corrected. Inventory has corrected. Pricing has (mostly) corrected. However, interest rates are still VERY low, which is going to make for an interesting Spring Selling Season with such low housing inventory. I would say expect 2015 to be solidly boring in its minor corrections, but as we know, real estate is NEVER boring :-)

See you in the future! I hope I'm wearing my jet pack. 

All data taken from Knoxville Association of Realtors (KAAR).