Buying a house in Knoxville isn’t getting any cheaper
The Knoxville Area Association of Realtors breaks down the latest housing data for buyers, sellers, and renters.
Knoxville is booming. If you’ve driven on I-40, tried to find a meter parking spot downtown, or tried to buy a house, you’ve no doubt noticed.
According to the Knoxville Area Association of Realtors (KAAR), Knoxville’s economy grew at nearly twice the pace of the U.S. economy in 2022. Although it’s expected to moderate in 2023, competitive real estate prices and a relatively low cost of doing business suggest the region will continue to outpace the U.S. in addition to many of its in-state peers.
Those competitive real estate prices are still higher than they used to be, as KAAR breaks down in its latest Market Pulse report:
- In the first quarter of 2023, home prices across the Knoxville metro area increased 6.1 percent from the previous year compared to 4.3 percent growth nationally, according to the FHFA House Price Index.
- Home sales in the Knoxville Area increased in April – up 8.0 percent from the previous month but down 8.9 percent from a year ago. Overall, home sales were down 17.5 percent in the first quarter of 2023.
- Apartment rents in Knoxville were up 10.7 percent from the previous year in April 2023, compared to 3.2 percent growth nationally.
- New listings in April were down more than 20 percent year-over-year across the Knoxville metro area, according to KAAR analysis of com data.
- Median home sales price was $325,000 in April — unchanged from the previous month and down 0.3 percent from the previous year. However, the median price per square foot of sold homes was up 3.7 percent from the previous year.
- Total housing inventory continued to increase – up 43 percent from a year ago but still approximately 62 percent below pre-pandemic levels.
KAAR released its 2023 State of Housing Report earlier this month. The signature report is published annually and provides a comprehensive analysis of East Tennessee’s housing landscape using the latest available data. Read our breakdown of the report here.
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