Is Chatt’s Real Estate Market “Unprecedented”?

It’s estimated, nearly 1/3 of America’s current home buyers are looking to relocate to a more affordable region.

This mass migration presents an opportunity for Tri-State property owners to capitalize on our region’s AFFORDABILITY.

While home values in the Chattanooga area are enjoying a steady rise,

local housing prices are 20% below the national average.

• National housing shortage
• Significant wealth currently circulating in the real estate market globally
• Largest-reported U.S. migration

Todd & Team

20+ Years Serving the Tri-State

Brittany, Rhey, Sabie, Angela, Melanie, Andrew, Beth, Jim, and Savannah

*Source: Greater Chattanooga MLS, **National Association of Realtors

Is The Market Looking Up?

As spring comes into bloom, the real estate world typically sees its busiest season, and 2022 is no exception. As of April 12, local homes under contract rose to 921, which was up from 809 just last month.*

With nearly 1/3 of current home buyers in the U.S. seeking to relocate to a more affordable region, (National Association of Realtors, 2.23.22), this spring season is shaping up to be yet another full real estate season.

The slow rise in inventory, plus more people planning to move this year could be another reason to consider putting your home on the market. Not to mention, Tennessee continues to be a top spot for said relocators.

In 2021, Tennessee placed in the top three U-Haul’s top 50 states for growth analysis. Chattanooga has also made the rankings of several U.S. News listings including:

• 49 in Best Places to Live in the US
• 27 in Best Places to Retire in US
• 3 in Best Places to Live in Tennessee

Additionally, Georgia remains one of the fastest-growing states in the U.S. and on the radar for many looking to make a move. “With a 10-year growth rate of 14.4%, Georgia’s state growth is more than 1.5 times that of the U.S. population growth rate. The state will add more people in the years to come; population projections forecast a 17.7% increase in Georgia’s population by 2030.” Bankrate.com

Whether you’re moving yourself, or hoping to capitalize on the growing market, our Team is here to help you know, understand and maximize today’s data and trends.

Comment below or contact us at 423.413.4507 to begin the conversation.

Todd & Team

Brittany, Rhey, Sabie, Angela, Melanie, Andrew, Beth, Jim, and Savannah

*Source: Greater Chattanooga MLS, Single Family Homes, Hamilton County

What Do Rising Interest Rates Mean for Real Estate?

From Wall Street to local lenders, the country is seeing an uptick in interest rate percentages. However, experts are not alarmed, and we are directed toward a more balanced, appropriate, and fair market.

Whether selling, buying, scrolling Zillow, or a quiet observer, recent headlines make it impossible to miss that interest rates for home loans are beginning to climb.

Forbes recently shared how rates have steadily climbed from historic lows at 2.88% to now just over 3.4%.

Increasing Interest Rates May Feel Intimidating, But Consider This:

–– Mortgage rates are still near all-time lows ––

• Sellers:  You can list without fear of rising rates. Our Tri-state market maintains record high sale prices and intense demand with no near end in sight. When appropriately marketed and priced, your property will attract qualified Buyers. (We also have strategies for the valid question, “If I sell, where would I go?”)

• Buyers:  Higher rates may require tweaking your budget and strategy, but it will also lessen competition by weeding out some unqualified buyers.

• Investors and Property Owners:  Your equity continues to grow. Let’s discuss if now is or is not the best time to capitalize on low inventory (fewer than 250 homes on the market in Hamilton County, TN).

So, with climbing interest rates and slowing home prices, what’s to love? Simply stated: balance.

Balance is gradually being restored, and the realm of real estate may be getting back in tune with something akin to harmony…especially in the height of the spring listing season just around the corner.

National Association of Realtors Chief Economist Dr. Lawrence Yun shared in a Tweet that “more residential construction and industry trade contractor jobs…are now far ahead of the numbers seen before the pandemic, implying more home-building and more supply are forthcoming,” giving a nod to the potential of new construction across the country.

Furthermore, in our local market, options are growing even as inventory stays low. New neighborhoods continue to rise especially in East Brainerd, Ooltewah, and Apison. Sale Creek and Soddy Daisy also offer hope for more inventory in the coming months alongside the new industrial park planned on the McDonald Farm property bringing mixed use and recreational venues. 

A recent story published in the Chattanooga Times Free Press also showed building permits being pulled at all time high for Signal Mountain’s Walden’s Ridge:

“In 2021, homebuilders raced to pull new single-family home permits on the ridge amid a strong housing market countywide, figures show. New permitted residential units climbed 64% on the ridge last year compared to 2020, according to the Chattanooga-Hamilton County Regional Planning Agency…the most annually in at least 15 years.”

If I Sell, Where Would I Go?

I Want to Sell While the Market is High,
But Will I Be Able to Find Another Home?

With Chattanooga homes selling at historic highs in record speed, it can be a profitable time to sell.

[ Chattanooga home values are rising 22% faster than the national average.* ]

 [ 68% fewer Hamilton County homes for sale than this time last year* ]

• Housing Shortage: Locally and nationally
• Interest Rates: Near all-time lows. Current owners refinancing to stay put.
• Demographic Shift: Millennials–largest generation in U.S.–hitting homebuying age
• Pandemic Impact: Tennessee is #1 destination for COVID moves
• Spring Market: Low inventory colliding with busy spring buying market

How Can We Help?

In today’s complex market, a “one-size-fits-all” mentality will NOT work. Our Team is here to help you analyze and maximize current conditions to meet your unique goals.

Set yourself up for success by leaning into the

• Facts
• Intelligent strategy
• Patience
• Current Local Market Data updated weekly at ToddHenon.com

This environment requires harder work, deeper experience, a broader network, and seasoned expertise by your real estate professional.

Don’t let fear prevent you from maximizing the market. 

Let’s have a conversation and allow us to put our 20 years of experience to work for you.

*Stat Sources: Chattanooga Times Free Press 2.23.21, 3.20.21, Tennessean 1.6.21

4 Things to Know about the Chattanooga Real Estate Market in 2020

The state of real estate in our region is strong heading into the new year, with Forbes ranking Chattanooga #1 for job growth. Here are the 4 things to keep in mind regarding the 2020 real estate market…

?…greater Chattanooga’s GROWTH. Chattanooga ranks #1 of U.S. cities for job growth in 2020 according to FORBES, while REALTOR.COM ranks Chattanooga #4 of “Top 10 Housing Markets in 2020”. Innovative downtown and exciting development will continue to change the Scenic City’s landscape.

?…interest RATES remain low. “Most economists are predicting rates to remain below 4 percent in the coming year,” reports The Washington Post.

?…accurately PRICED properties are still selling fast. We can market property extensively, but at the wrong price, the activity will be slow. When the price is aggressive, yet appropriate, properties can sell within days. 

? …new construction SHORTAGE. We are seeing the “new build” sector recover…if you can find the land to develop. Fannie Mae predicts 2020 housing starts will jump 10%, but there is a home-site shortage in Chattanooga. If you are considering building, investing, or developing, start your site search early.

In our 30 years serving in the TN, GA, AL real estate industry, we’ve helped our Clients succeed in multiple upticks and downturns. Whether your 2020 involves moving, investing, or simply monitoring the pulse of the market, we’re honored to be your real estate resource.

Here to help,

Todd Henon

Broker: TN, GA, AL

Top 1% Greater Chattanooga Realtors

Chattanooga’s Only Accredited Land Consultant

Todd Henon Properties is a leading Chattanooga-based real estate team serving Tennessee, Georgia and Alabama since 2000. Headquartered at Keller Williams Realty Downtown, Todd Henon Properties is in the top 1 percent of Chattanooga Realtors in sales volume and the top 3 percent of Keller Williams agents worldwide. Specializing in homes, estates, land and farms, Henon’s seasoned team of in-town, neighborhood, and acreage specialists are known for their expertise in traditional and unique properties at all price points.

Whether buying or selling, residential or acreage, in-town or rural, our Todd Henon Properties Team would be honored to assist you.

To learn how we can add value to your purchase or sale, contact us.

This blog was originally posted on January 18, 2020.

Current Historic Housing Boom

Listen >> 3:54 Minutes

“One of the biggest housing booms in U.S. history,”

is what top economists are calling the current market. Since 2012, home prices have risen 50% nationwide, NPR reported yesterday.

The big question: Will it last?

Our local Chattanooga market has seen exponential growth–thanks to Volkswagen, Amazon, and our extensive outdoor activities–with the 2018 population coming in over half a million residents. Tennessee’s population has grown to 6.77 million as of January 2019. These factors contribute to the “explosion in demand” NPR’s Greg Rosalsky references in the NPR report.

Skylar Olsen, the director of economic research at Zillow, says this increase in home values has been driven by an explosion in demand. This demand has been fueled by low interest rates, an improving economy.

GREG ROSALSKY, NPR NEWS

And right now it’s clearly good to be selling a house. Since home prices hit their bottom after the crash, we’ve seen one of the biggest housing booms in U.S. history.

GREG ROSALSKY, NPR NEWS

If you’re ready to maximize this historic market or curious what it means for you, let’s have a conversation. We’re honored to be your real estate resource. 

423.664.1914 direct

Todd Henon

Broker: TN, GA, AL

TODD HENON PROPERTIES