The 2021 data is in, but the big news this month is Supply has hit a new record low for Rutherford County, with only 0.24 Months Supply of Homes. That’s roughly a week’s worth of Inventory when compared to turnover rates. Read on for our full rundown of the monthly and year end real estate data comparisons, plus some predictions for 2022!
In December 2021 Listings Contracted were up +14.0% from the December prior, but down -8.40% from November 2021. Listings Closed were down -11.97% from last December, but up +0.58% from November. Median List Price was up the highest we’ve seen this year at +31.07% and +6.92% from last month. This all bolstered by Rutherford County’s dwindling Inventory, which was down -34.56% from last year and -17.66% from November. Supply hit a new record low in December, with only 0.24 Months Supply, or 178 homes at the open of business on January 5th. Of that limited Supply 28% were “paper listings,” or those that are not actually constructed as of yet. 28% of the current Supply are luxury homes listed above $700K, while only 26 homes listed were priced under $300K.
Looking at the final numbers for 2021, the Rutherford County real estate market saw a slight softening from the banner year seen in 2020, but considering the year-long Inventory shortage things weren’t nearly as bad as projected. First off the good news, Rutherford County sellers saw an +18.6% increase in Average Sales Price. This being slightly ahead of the National average of +18.1% appreciation year-over-year, the highest level in its 45 years of record.
Contracts were down slightly at -2.85% compared to 2020, while Closings were down -1.62%. These numbers aren’t all that bad considering Inventory was down -34.10% from 2020. Let’s again remember 2020 was the best year Rutherford County’s real estate market has seen on record. When compared to the 2019, we saw an +11.66% increase in Contracts, +13.23% jump in Closings, both despite Inventory being down -48.26% from 2019.
Mortgage Interest Rates have held steady since November, still sitting at an average 3.11% (30-Yr Fixed Rate Mortgage). So the housing market remains favorable for buyers, with rates still lower than their post-pandemic peak of 3.18% in April 2021 and well below pre-pandemic levels. Looking forward, the Nashville MSA is predicted to be #6 Hottest Market in the U.S., according to Zillow research, based on projected home value growth, economic vitality, job growth and inventory turnover. Zillow is also forecasting +24.3% appreciation nationally in 2022, while the National Association of Realtors (NAR) and Realtor.com are projecting +5.7% and +2.9% respectively.
If you are a buyer looking to find your new home in this increasingly difficult market, or a seller looking to take advantage of John Jones Real Estate’s LOCAL market expertise to sell your home faster & for more money, please give us a call at 615-867-3020. It would be our pleasure to serve you.