As the unemployment rate remains low, Tennessee’s housing market continued to perform well in the second quarter of 2016, according to the latest statewide report from the MTSU Business and Economic Research Center.
“One of the highest points this quarter is in the area of home closings and inventories,” said BERC Director Murat Arik. “Every area tracked in this report showed positive performance over the quarter and especially over the year.”
Also, home prices are up in every area the report tracks for the first time in over four quarters, with major growth in the Nashville MSA (up 9.8 percent), Jackson MSA (up 4.9 percent) and Morristown MSA (up 4.6 percent). Statewide, housing prices increased 6.3 percent versus 5.4 percent for the United States in the second quarter.
The report is funded by Tennessee Housing Development Agency to provide regular metrics on the state’s housing market. See the full report with detailed breakdowns and summaries at http://mtsu.edu/berc/housing.php.
Other report highlights include:
- Tennessee quarterly homeowner and rental vacancy rates declined.
- Over the year, Tennessee housing permits outperformed the South and the U.S.
- Over the year, inventory fell and home sales rose in all three metro areas (Memphis, Nashville, Knoxville).
- Mortgage delinquency rates are down overall for Tennessee.
Under contract with THDA, BERC releases the “Tennessee Housing Market” report each quarter. The report offers an overview of the state’s economy as it relates to the housing market and includes data on employment, housing construction, rental vacancy rates, real estate transactions and mortgages, home sales and prices, delinquencies and foreclosures.
The Business and Economic Research Center operates under the Jennings A. Jones College of Business at MTSU. For more information, visit http://mtsu.edu/berc/.
THDA publishes research on affordable housing, its programs and beneficiaries. THDA also coordinates state planning for housing through the Consolidated Planning process, annual Action Plans, and annual Performance Reports. See http://thda.org/research-planning/research-planning for more information.