
Why Are Houses More Expensive?
Chattanooga, Tennessee, the “Scenic City,” has seen a surge in popularity in recent years. The city offers picturesque surroundings, outdoor recreational opportunities, and a thriving local economy. In
Chattanooga, Tennessee, the “Scenic City,” has seen a surge in popularity in recent years. The city offers picturesque surroundings, outdoor recreational opportunities, and a thriving local economy. In
We’re not “tax people”––we’re real estate professionals. But as tax day quickly approaches, we want to share possible tax-saving strategies pertaining to real estate.
Realtors Todd Henon and Brittany Fulmer Ennen of Todd Henon Properties join “Let’s Talk Money,” hosted by Jim Place and Jayme O’Donnell of Evergreen Advisors
Rumors and speculation abound, but data + expertise clear the fog. So, how did our local real estate market fare in 2022 and where is it trending?
We all want to make wise, data-driven real estate decisions, right? To do so, it’s never been more critical to look beyond headlines and view
Conservation Easements 101: The Basics and Benefits of Conserving Land Kat Szymanski and Todd Henon Properties Realtor, Rhey Houston • 11 Oct, 2022 As a
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
Chattanooga, Tennessee, the “Scenic City,” has seen a surge in popularity in recent years. The city offers picturesque surroundings, outdoor recreational opportunities, and a thriving local economy. In fact, Chattanooga recently surpassed Nashville and Knoxville as the #1 city in Tennessee for in-flow of new residents, while our State ranked 6th among U.S. states for inbound moves. Signal Mountain, a sought-after community with natural beauty, small-town charm, and award-winning schools, is experiencing significantly limited housing availability, like many communities in our region. It serves as a case study for the Greater Chattanooga market.
As of April 24, 2023, only 22 houses were available on Signal Mountain. A historically balanced market would offer over 5-times that number.
The limited housing supply on Signal Mountain has intensified competition among potential homebuyers, leading to historically high price points. Compare today’s average home price of over $700,000 with that of 2020’s average of $456,185.
Signal Mountain Local Market Snapshot
Despite interest rates tripling over the last 12 months, 2022 was a record-breaking year on Signal, and 2023 is trending in the same direction. Signal’s key market drivers include the nationwide housing shortage, significant migration into the state, TN’s low tax burden (2nd lowest in US), Signal’s nationally-ranked school system, and of course, lifestyle.
The lack of available homes on Signal Mountain and in Chattanooga has several results, which might prove beneficial to Sellers on Signal:
This shortage isn’t only affecting Signal Mountain but reflects the larger market in Chattanooga (Hamilton County), which is experiencing the limited housing challenge at 1.3 months of inventory. (Balanced market = 6 months inventory).
Several factors contribute to the limited housing availability in the Greater Chattanooga area:
This nationwide and citywide shortage of homes has led to increased competition among homebuyers, driving up home prices and reducing the time properties stay on the market. For those looking to buy a home in the Chattanooga area, it is vital to educate yourself on market conditions in order to act quickly and wisely in this competitive market. We’re here—with our 3 decades of experience in the Greater Chattanooga market—to help equip you to compete. Meantime, keep up with market changes with our Weekly Market Data Updates here.
If you’re considering selling, it would be our privilege to have a conversation to provide a market perspective with a complimentary and confidential price evaluation of your property. Call (423) 413.4507 to schedule your appointment. We’re here to serve and invite you to explore our work and more local market data here.
We’re not “tax people”––we’re real estate professionals. But as tax day quickly approaches, we want to share possible tax-saving strategies pertaining to real estate.
Whether reminders or new thinking for your portfolio, we encourage you to consider these tax strategies and, of course, speak with your tax professional.
Our full-service Team is honored to be your real estate resource for Buying, Selling, and Investing. Need a trusted local CPA, tax strategist, attorney, or estate planner? We’re here to put our 30-year network to work for you.
It would be our privilege to sit down soon to discuss your goals.
Our Team of Experts
Rhey Houston, Brittany Fulmer Ennen, Melanie Siler, Sabie Crowder Hennen, Angela Volner, Jim Woodard, Liv Clary, Savannah Ward, Koty Pearse, Beth Bragg Henon, and Todd Henon.
Realtors Todd Henon and Brittany Fulmer Ennen of Todd Henon Properties join “Let’s Talk Money,” hosted by Jim Place and Jayme O’Donnell of Evergreen Advisors on current local real estate trends. After three decades in the real estate industry, what do these two experts have to say about the recently unusual Chattanooga housing market?
“There’s no question about it, we do not have enough inventory to go around. That has not changed, regardless of the noise inside of the industry.”
– Todd Henon, Broker-Realtor TN, GA, AL
30+ Years in Real Estate Industry
The perfect storm: Low inventory and high demand all leading to a competitive atmosphere, shorter time for houses to be on the market, and the highest recorded average home prices.
“The current average days on market is setting the expectation, specifically for sellers, that it’s okay if your house doesn’t go in 24 hours, it’s also okay, if it does go in 30 days.”
– Brittany Fulmer Ennen, Licensed Realtor TN + GA
Listen to the full episode here:
To learn about 2022’s interest rates, pricing, average days on the market, and more, listen to Let’s Talk Money with Todd Henon and Brittany Fulmer Ennen.
Let’s Talk Money is sponsored by Evergreen Advisors and airs on weekdays at 12pm on WGOW. For the latest Current Market Data, click here.
The value of finding a trusted advocate to walk you through this ever-changing market and the nuanced process cannot be overstated. We would be honored to be of service to you. Contact us to have a conversation about your real estate goals.
Featured: Classic Southern Estate
Record Breaker
Looking Ahead…
Fastest in History
Supporting Data via Greater Chattanooga Multiple Listing Service
If your 2023 goals include real estate–home, investment, recreation, relocation or commercial—we would be honored to sit down and have a conversation. Call us at 423.413.4507.
Sources: GCAR MLS, fred.stlouisfed.org
The driving force in today’s premium-priced Real Estate market is the basic law of supply & demand. Economists predict demand will likely exceed supply nationwide for the next 4-10 years keeping prices and values at a premium.
We’ll explore that next time…
Kat Szymanski and Todd Henon Properties Realtor, Rhey Houston • 11 Oct, 2022
As a landowner or prospective buyer of land, you have many choices for how you might handle your land as an asset. For instance, you could hold your land for future appreciation, or you could contribute additional capital and expertise to develop the property into a commercial or residential enterprise. One other less obvious alternative might be to consider conserving the property and enjoying the benefits associated with this unique property vision.
Understanding the costs and benefits associated with each of these choices could significantly benefit you and dramatically enhance your long-term property outcome.
A conservation easement could be a large factor in whether you decide to purchase land real estate, or it could hinder the sale of your property sometime in the future. That said, there are potential tax benefits associated with conservation easements, as well as substantial benefits for the public.
What is a Conservation Easement: An In-Depth Look
The concept of conservation easements is easy to understand at first glance — it’s simply a set of restrictions on a piece of land designed to ensure that the historical or conservation value of the land is protected. However, while the concept is simple, how conservation easements work is a bit more challenging to discern.
Many parcels of land often include areas that a conservation agency or private land trust wishes to preserve for either historical value, conservation value, or both. The conservation easement is the agreement between the landowner and the agency or trust that defines specific terms regarding the protected areas.
While each conservation easement can vary based on the particulars of the specific property, common easement terms typically include:
The exact terms can often be negotiated between the conservation group and the landowner. However, the conservation easement that is created will then apply to all future buyers of land real estate on which the conservation easement exists. This ensures that the land continues to be protected, regardless of ownership.
Donating Land for a Conservation Easement
Owners of land real estate may be approached by a private land trust or conservation agency that wishes to protect some or all of the land. If no conservation easement currently exists, the landowner does not have to donate the land to the conservation group. However, there are often benefits to doing so, which is why many conservation easements are created each year.
In fact, the number of land conservation easements in the United States is now larger than the number of national parks, forests, and state parklands. The USDA and private landowners have partnered to enroll over 5 million acres of wetlands, grasslands and prime farmlands in conservation easements. These easements serve to protect many scenic, historical, and biological resources.
When a landowner donates land to a conservation easement, they still retain ownership and control of the property and can determine who has access to the property. The conservation agency is simply responsible for enforcing the terms of the agreement reached between the two parties.
Benefits of Donating Land for a Conservation Easement
Conservation easements often serve to make a positive difference in many communities by providing a protected area that may supply clean water, productive farmland or forests, thriving wildlife habitats, or even just some lovely scenic views. Each conservation easement is often created to fulfill a specific purpose. The majority, however, are usually meant to help maintain and protect ecological communities and wildlife. Conserving land is also an important factor in helping to combat climate change, as well as preserve historic areas and legacies.
While many landowners see the value to the surrounding communities and the environment by conservation easements, federal or state tax benefits are often a key factor in the decision to donate land.
The landowner that donates land to a conservation easement is entitled to an income tax deduction for the value of the land. Typically, a real estate appraiser will determine the land’s value and easement’s value. The donation of the land counts as a charitable gift which must be reported to the IRS. It should be noted that while land with a conservation easement is taxed at a lower value, any existing buildings and structures currently on the land are taxed at the standard rate.
The donation of land also affects the tax valuation of the property as a whole, which can significantly lower the estate tax that may be due upon the donor’s death. Additionally, estate tax exclusions may also be allowed under certain circumstances. And, depending upon the state in which the conservation easement exists, reduced property taxes might also be applicable.
In Conclusion
Creating a conservation easement is a process. As a landowner, you don’t necessarily have to wait for a private land trust or government conservation agency to come to you. You can contact agencies of your own accord and state your intent to donate land. This serves the dual purpose of enabling you to benefit from tax incentives and protect the beauty of your land for future generations.
If you are interested in purchasing land real estate, be sure to inquire whether any conservation easements currently exist on the property you are interested in. If you have a specific purpose for the land you want to purchase, easement restrictions may prevent you from doing so.
A first recommended step would be to consult with a land consultant who has the expertise and experience to help you successfully navigate this process.
Never Settle. Let land expert Rhey Houston, who has participated in conserving 10,000± acres, and Chattanooga’s 1st Accredited Land Consultant, Todd Henon, serve you.
A special thank you to Kat Szymanski for allowing us to share this article.
Realtor TN, GA
Realtors Land Institute, TN
Conservation Specialist
Broker-Realtor TN, GA, AL
Chattanooga’s 1st Accredited Land Consultant
Realtors Land Institute, TN
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.
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
Todd Henon Properties 423.413.4507 direct Info@ToddHenon.com Keller Williams Realty Greater Downtown Realty 1830 Washington Street Chattanooga, TN 37408 423.664.1900
Todd Henon Properties 423.413.4507 direct Info@ToddHenon.com Keller Williams Realty Greater Downtown Realty 1830 Washington Street Chattanooga, TN 37408 423.664.1900
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