Knoxville, TN: A Seller’s Market: September 2024

In 2024, Knoxville, TN, has firmly established itself as a seller’s market. This means that the housing conditions favor sellers, characterized by higher home prices, faster sales, and a competitive market environment. For those looking to buy in Knoxville, the landscape can be challenging, but understanding the dynamics at play can help make informed decisions.

Median Sold Price in Nashville, TN

Understanding the Seller’s Market in Knoxville, TN

Market Overview

Knoxville has maintained its status as a seller’s market since 2023, with several key indicators reinforcing this position. The city’s real estate market is driven by high demand and limited supply, which naturally leads to rising prices and quicker home sales. For sellers, this environment is ideal as it typically leads to multiple offers and homes selling close to or above the asking price.

Key Takeaways

• Rising Home Prices: Knoxville’s median home price increased by 7.9% from July 2023 to July 2024, reaching $372,456.

• Fast Sales: The average days on market in Knoxville is 21 days, indicating a fast-paced market where homes do not stay listed for long.

• Limited Inventory: With only a slight decrease in the number of homes for sale, Knoxville’s housing supply remains tight, contributing to the competitive environment.

Median Sold Price Compared To Nearby Cities

Housing Prices in Knoxville, TN

Median Sold Price

The median sold price for homes in Knoxville stood at $372,456 as of July 2024, reflecting a 7.9% increase from the previous year. This significant rise highlights the ongoing demand for housing in the area, with prices likely to continue their upward trend if the current market conditions persist.

• Price Per Square Foot: The median price per square foot for homes in Knoxville is $210, which aligns with the overall increase in home values.

Price Changes by Bedroom Count

Housing prices in Knoxville vary significantly by the number of bedrooms, with notable differences observed between July 2023 and July 2024:

• 1 Bedroom: The price for 1-bedroom homes saw a remarkable increase of 43.2%, rising from $185K to $265K.

• 2 Bedrooms: Prices for 2-bedroom homes increased by 7.7%, reaching $249.7K.

• 3 Bedrooms: The most common home size, 3-bedroom homes, saw a 6.7% price increase to $351.2K.

• 4 Bedrooms: Larger homes with 4 bedrooms experienced a modest price increase of 3.1%, with the median price now at $499.9K.

• 5+ Bedrooms: Interestingly, the median price for homes with 5 or more bedrooms decreased slightly by 0.4%, bringing the median price to $650K.

Comparison to Nearby Cities

Knoxville’s housing prices, when compared to nearby cities, show a consistent trend of growth, albeit at varying rates:

• Strawberry Plains: A significant increase of 28.6%, with prices rising from $311K to $400K.

• Powell: Home prices rose by 7%, from $331.7K to $355K.

• Farragut: One of the more affluent areas, Farragut saw a 4.6% increase, with prices reaching $680K.

• Alcoa: Notably, Alcoa experienced a decrease in home prices by 8%, down to $276K.

Number of Homes Sold in Nashville, TN

Housing Supply in Knoxville, TN

Current Inventory Levels

As of July 2024, the housing inventory in Knoxville saw a slight decrease, with 1,923 homes available for sale, down by 0.5% from the previous month. The limited inventory contributes to the ongoing seller’s market, where demand outstrips supply, pushing prices upward.

Inventory by Bedroom Count

The breakdown of housing inventory by bedroom count reveals varying trends:

• 1 Bedroom: The inventory of 1-bedroom homes decreased by 9.8%, reflecting higher demand or fewer listings.

• 2 Bedrooms: A slight decrease of 2% was noted in the 2-bedroom category.

• 3 Bedrooms: Inventory for 3-bedroom homes, which are typically in high demand, decreased by 1.5%.

• 4 Bedrooms: Contrary to smaller homes, the inventory of 4-bedroom homes increased by 1.6%.

• 5+ Bedrooms: The largest homes saw a 2.7% increase in inventory, possibly due to slower sales in this category.

Homes Sold and Market Behavior

The number of homes sold in Knoxville also indicates a highly active market:

• Homes Sold in July 2024: A total of 517 homes were sold, a 4.3% decrease from June 2024.

• Asking vs. Sold Price: Of the homes sold, 49% were sold under the asking price, 27% at the asking price, and 24% over the asking price. This distribution suggests that while the market is competitive, there are still opportunities for buyers to negotiate.

Days on Market in Nashville, TN

Days on Market in Knoxville, TN

Average Time to Sell

The average time a home stays on the market in Knoxville is 21 days, an 8.6% increase from July 2023. This slight increase may indicate that while the market remains strong, the rapid price increases could be causing some hesitation among buyers.

Breakdown of Sale Times

• Fast Sales: A significant 78% of homes sold within 30 days, underscoring the quick pace of the market.

• Moderate Sales: 17% of homes took between 30 to 90 days to sell.

• Longer Sales: Only 5% of homes were on the market for over 90 days, suggesting that most homes sell relatively quickly.

Market Outlook for Knoxville, TN

The Knoxville housing market shows no signs of slowing down, remaining a strong seller’s market into 2024. For potential buyers, this means navigating a competitive landscape where prices are likely to continue rising. For sellers, the current market conditions are favorable, offering opportunities to sell quickly and at a good price.

Key Takeaways

• High Demand, Limited Supply: The Knoxville market continues to be driven by high demand and limited inventory, leading to rising prices.

• Seller’s Advantage: Homes are selling quickly, often at or above asking prices, making it an advantageous time for sellers.

• Considerations for Buyers: Buyers need to be prepared to act quickly and may need to be flexible with their offers to secure a home.

Frequently asked questions

Is Knoxville, TN currently a seller’s market?

Yes, Knoxville is currently a seller’s market, characterized by rising home prices, quick sales, and limited inventory.

How much have home prices in Knoxville increased over the past year?

Home prices in Knoxville have increased by 7.9% over the past year, with the median home price now at $372,456.

What is the average time a home stays on the market in Knoxville?

The average home in Knoxville stays on the market for 21 days, indicating a fast-paced market.

How does Knoxville’s housing market compare to nearby cities?

Knoxville’s housing market has seen steady growth, with prices increasing by 7.9%. This growth is comparable to nearby cities like Powell and Farragut, though Strawberry Plains saw a much larger increase.

What is the current housing inventory in Knoxville?

As of July 2024, there were 1,923 homes available for sale in Knoxville, a slight decrease from the previous month.

Are homes in Knoxville selling above or below the asking price?

In July 2024, 49% of homes in Knoxville sold below the asking price, 27% at the asking price, and 24% above the asking price.

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