MURFREESBORO, Tenn. — In a new economic report from Middle Tennessee State University, the state’s housing market continues to show signs of a continued recovery from the impact of COVID-19.
“Housing prices for the U.S. and Tennessee seem to follow a pattern of exponential growth, while mortgage delinquencies inch closer to pre-pandemic levels, and foreclosures remain slightly above zero percent,” Arik said.
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• Home Sales: Closings for theNashville, Knoxville, and Memphis regions had mixed outcomes for the quarter and year. Nashville and Knoxville had decreases in quarterly closings of .01% and 17.6%, while Memphis saw a quarterly increase of 3.5%. When considering annual changes, all three regions in the state experienced growth: Nashville at 25.5%, Knoxville at 20%, and Memphis at 28%.
Inventory among the three regions almost uniformly decreased from both quarterly and yearly perspectives. Knoxville saw the only quarterly increase of 18.77%.
Nashville and Memphis saw a quarterly decline in inventory by 16% and 3.26%, respectively. Annual changes were strictly negative among Nashville at 54.90%, Knoxville at 48.31%, and Memphis at 33.71%.
• Home Prices: Among the major metropolitan statistical areas in Tennessee, all saw increases in home prices. Morristown, Jackson, and Knoxville MSAs had the largest annual growth rate (16.71%, 15.3%, and 15.08%, respectively). All MSAs also saw an increase in home prices from the previous quarter. Morristown, Jackson, and Knoxville MSAs had quarterly growth (6.24%, 8.8%, and 6.8% respectively).
• Single-family and total home permits for Tennessee were more mixed. Single-family permits slightly fell by .2%, and total permits rose by 12% since Q1 2021. Both categories of permits saw significant increases since the second quarter of 2020. Single-family permits rose by 36% and total family permits rose by 44%.
Overall, with the exception of single-family permits, Tennessee’s economy is experiencing a continued recovery from the COVID-19 pandemic.