Schools are back in session, which means we’re inching closer to the end of what is typically the busiest time of year in real estate.
However, the market in Greater Chattanooga continues to remain competitive and shows no signs of slowing down. Housing inventories are near decade lows, which directly puts pressure on home prices.
Recent data shows there’s more demand than supply in the Greater Chattanooga market, which means conditions broadly favor sellers. Meanwhile, buyers are out there looking to purchase homes. Buyer traffic is 25 percent above a year ago and sellers are often receiving multiple bids. The large millennial population is expected to continue entering the market as buyers, causing home prices to increase.
The good news for potential buyers is home construction is rising, which helps keep housing affordable, and a there is “no housing recession over the horizon” according to Lawrence Yun, chief economist for the National Association of Realtors.
Despite a competitive market, homeownership remains desirable to many renters, who are all feeling the pain of a reported 13.2 percent increase in rental rates in Chattanooga. The benefits of homeownership are still very evident and opportunities for buyers exist. Just because the current market tends to favor sellers doesn’t mean buyers can’t still find their dream home.
Here are a few tips for potential buyers in today’s market:
-- Know your budget before window shopping: Knowing your budget before falling in love with homes out of your price range will help guide a realistic road to homeownership. Lenders will evaluate your income, savings and credit history to qualify and approve you for a mortgage.
-- Identifying neighborhoods of interest: Whether you’re a millennial wanting to live in thriving downtown Chattanooga, looking to move into a more desirable school district, or wanting to downsize, choosing a few options for where you’d like to live is important in aiding a home search. Once you have a good idea about what you’re looking for, it’s easier to know it when you see it.
-- Work with a Realtor: Realtors understand the local markets and can negotiate on your behalf, saving you time and money. Buying and selling a home is one of life’s biggest decisions, and a Realtor can guide you through the process.
Connect with a Realtor to get off on the right foot in your home search. They will provide more tips on how to navigate our housing market and go from a potential buyer to new homeowner. Visit www.gcar.net to find a Realtor today.
Greater Chattanooga Realtors is “The Voice for Real Estate in Greater Chattanooga.” A regional organization with more than 2,000 members, Greater Chattanooga Realtors is one of some 1,300 local boards and associations of Realtors nationwide that comprise the National Association of Realtors. Greater Chattanooga Realtors services Hamilton and Sequatchie counties in southeast Tennessee and Catoosa, Dade and Walker counties in northwest Georgia. For more information, visit www.gcar.net or call 423 698-8001.