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Home Sales Drop in Brentwood TN in October 2017

By
Real Estate Agent with Benchmark Realty, LLC 328426

Its official, home sales drop in Brentwood TN in October 2017. Does this signal a shift in the current real estate housing market? It may.

There has been much speculation among a few Realtors® that the big real estate boom in Nashville, Brentwood, and Franklin may be coming to an end. We all know this crazy market cannot maintain this strong growth forever. October Brentwood home sales numbers may be the first indicator the market is finally taking a breather.

 

Home Sales Drop in Brentwood 

 

The MLS (Multiple Listing Service) reports Brentwood in Williamson County had 41 home sales in October 2017. Home sales are down 28% from October last year’s posting of 57 homes sold! October home sales in Brentwood have not been this low since 2009 when 35 homes closed for the month. February 2009 marks the bottom of Great Recession for the Nashville area following the crash in 2008.

10 year home sales October

Brentwood Home Buyers Choose Brenthaven and Brookfield

 

Even though last month’s home sales were down, home sales are very even across many of the Brentwood neighborhoods. No one neighborhood really stood out with a large number of transactions. The 41 homes sold represent 32 neighborhoods.  Brenthaven and Brookfield each had 3 homes sold. Chestnut Springs reported the least expensive home to sell, $365,000, while Fountainhead had the most expensive home closing at $1,270,000.

 

Brentwood Home Buyers Negotiate Down

 

Another indicator pointing to a slowing in Brentwood home sales is the Sales Price to List Price ratio. For the first time in 6 years, the spread has widened. October 2017 has a ratio of 97.73% as compared to 2011 at 95.25%. This means the price homes sold on average are 2.2% to 4.75% lower than the list price. This probably reflects Brentwood homeowners are accepting lower offers to move their homes. I might add the widest spread since October 2007 was in 2010 at 95.19%.  One last observation compares September 2017 with the SP/LP ratio at 97.49% which is even lower than October. The average Brentwood home in September was listed at $826,187, but the final sales price closed at $803,307, a $22,880 difference.

 

Brentwood Homes Stay on Market Longer

 

Other comparisons of interest include square feet ranges, the median price per square feet, and days on market (DOM). October 2017 saw a reduction of square feet in homes sold as compared to last year. 2017 shows home sales in a range from low to high 1,751 to 8,705 square feet. In October 2016, the range of homes sold was higher from 2,056 to 12,223. The median price per square foot also dropped from $181/sqft to $170/sqft. The number of days homes remained on the market rose from 30 days in October 2016 to 46 days in 2017. These are more signs the market has taken a breather.

 

Lastly, an indicator we want to pay close attention to is inventory. At the end of October, about 200 homes were available for purchase and another 163 homes were under contract. With only 41 homes closing in October, you can see how inventory is building and homes are remaining on the market longer. Do keep in mind, the Fall always see a pullback in home sales because schools are back in session; the holidays are at hand, and there are many ball games from all levels of schools and professional teams in the Nashville area.

October Minimum and Maximum Home Prices

Waiting for a Trend Indicator

 

Using only one month as a new trend is not a sound forecaster. Only when we can string together several months reflecting a unison in the direction of home sales will we know if the market has truly taken a rest. And how long will this rest be? No one knows. It might last until March as it did earlier this year or we may see a softening in the entire marketplace through Spring or even Summer. So, keep checking as each month closes. The monthly numbers in time will give us a possible glimpse into the true direction Brentwood home buyers have chosen as a group.

 

Do you need expert advice about your home value or are you looking to buy a home in this excellent buyer’s market? Please let me know how I can help you.

 

Created by David Wright, Realtor® - CRS, SRS, CNE - Real Estate Refined, for Brentwood Home Trends.

Benchmark Realty LLC

318 Seaboard Lane, Suite 115

Franklin, TN 37067

615-500-4466 c.    615-371-1544 o.

DavidWrightTN@gmail.com

www.thewrightdreamhome.com/

  

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