In July 2024. U.S. existing home sales fell 5.4% month-over-month and 5.4% year-over-year to a seasonally adjusted annual rate of 3.89 million units, with monthly sales down in all four regions, according to the National Association of REALTORS® (NAR). Higher mortgage rates, along with rising sales prices, have kept many prospective buyers on the sidelines, despite more home choices and less competition for those homes.
In the Chattanooga region, new listings surged by 22.9%, reaching 1,386. However, pending sales decreased by 3.4% to 912, while inventory levels saw a substantial increase of 56.1%, totaling 2,664 units. Home prices in this area continued to rise, with the median sales price up 1.5% to $329,900. Additionally, the average number of days on the market increased by 13.3% to 34 days, and the months’ supply of inventory grew by 55.0% to 3.1 months, giving buyers a bit more leverage.
Nationally, home prices remain on an upward trajectory. The median existing-home sales price rose by 4.1% year-over-year to a record-high of $426,900. Total housing inventory also improved, increasing by 3.1% from the previous month to 1.32 million units. This brings the months’ supply of inventory to 4.1 months at the current sales pace, the highest level since 2020.
Despite the broader trends of slowing sales and rising inventory, home prices continue to climb, reflecting ongoing demand amid a challenging market environment.