Northeast Tennessee Townhome and Condo Sales Decline in September

Sales in the townhome and condominium market in Northeast Tennessee experienced a significant decline in September 2023, as reported by the Northeast Tennessee Association of Realtors (NETAR). The region saw a drop in sales to 19 units this year, down from 34 in September 2022. At the same time, inventory levels rose in nearly every county, indicating a shift in the market dynamics.

The report indicated that new listings surged by 31%, coupled with a 44% increase in overall inventory. Pending contracts also fell sharply, decreasing from 40 in the previous year to just 21 last month. Sullivan and Washington counties emerged as the primary areas for real estate activity.

County-by-County Breakdown

In Washington County, there were nine closings in September, a decline from 21 last year. Pending sales also saw a decrease from 25 to 10, while new listings slightly dropped from 24 to 23. The median sale price in the county increased from $229,900 to $240,500, suggesting that higher-end units were still being sold. Inventory rose from 40 to 59 units, resulting in a months’ supply increase from 2.3 to 3.7.

Carter County reported no closings in September, compared to two the previous year. Nevertheless, new listings increased to three, while pending sales dropped to one. The report noted that the median price for this year could not be provided due to the lack of transactions, although last year’s median was $231,250. Inventory in Carter County rose from seven to nine units, with the months’ supply expanding from 2.9 to 3.9.

Sullivan County maintained its status as the leader in closed sales, matching last September’s total of nine closings. The county saw two new listings this year, down from last year’s six, while pending sales remained stable at nine. However, the median sales price in Sullivan dropped significantly to $190,000 from $229,000, with inventory more than doubling from 16 to 38 units. This shift led to an increase in the months’ supply from 1.5 to 4.1.

Greene County mirrored Carter County’s performance, reporting no closings in September, a decrease from two last year. The county had two new listings and one pending sale, while inventory rose from three to five units. The previous year’s median price of $359,950 highlighted the absence of higher-end transactions this fall, with the months’ supply rising from 2.7 to 4.4.

The data reflects a cooling trend in the townhome and condo market across Northeast Tennessee, as rising inventory and declining sales signal a shift in buyer interest and market conditions.