Tri-Cities Real Estate Market Update | April 2020

finance, mortgage, rates, calculate, pmi

As the novel coronavirus continues, the real estate market faces an uncertain future. When COVID-19 started making major headlines in March, reported the number of homes year-over-year declining at a rate of 15.7%. Even with this decline, however, the average selling price rose 3.8% to $320,000. Fast forward a few months, and is now forecasting mortgage rates to continue to decrease and remain between 2.9 and 3.2% – lows of which have never been seen. With total home sales decreasing by 15%, the average price is expected to grow by a percentage point. 

Now the housing market faces a new concern: a shortage of homes. Even in a market that is currently facing an economic disaster, there appears to be a strong demand for new homeownership. This concern has only exacerbated since January, when the supply of available homes was 12% lower than 2018. 

Certainly, different regions of the United States have experienced varying levels of economic hardship. The Tri-Cities, TN/VA region has fared better than some. Mirroring similar results from the nationwide real estate market, the Northeast Tennessee Association of REALTORS® released their monthly report. They found home sales were down almost 18% in April. However, average prices jumped 15% YOY. In total, over $106 million worth of real estate was sold in April. While the shortage of homes continues to be a concern, most experts view the real estate market rebounding in the third and fourth quarter of the year. Check out our Real Estate Market Report below for Northeast Tennessee. 


About the Author

Vance moved back to the Tri-Cities from Nashville, TN in 2020 where he worked in sales development for a Silicon Valley technology start-up. Before this, Vance worked in retail management for over ten years.

While Vance has lived all over the country, he attended East Tennessee State University for his undergraduate degree in Integrated Marketing Communications. He graduated Magna Cum Laude and with special honors from the College of Business and Technology. Vance went on to pursue his Masters in Digital Marketing from ETSU while working for Target as a store manager in the Knoxville/Chattanooga/Nashville markets.

In his spare time, Vance enjoys traveling (12 countries and counting!), and loves spending time outdoors with his dog, Miles, hiking, biking, kayaking, and camping. He is also an avid motorcyclist and loves spending the weekends riding through the Blue Ridge and Great Smoky mountains.

With his background in sales and customer success, Vance is determined to redefine the customer journey of home buying and selling to ensure that Red Door and its agents are the region's destination for real estate.

Awards & Designations

Google Certified Professional: Analytics & AdWords