Average Home Price in Sumner County Rises to a Record $525,961
Increasing mortgage rates and consumer concerns about overall inflation may be affecting demand for housing, but home values in Sumner County have never been higher.
Single family residential properties sold for an average of $525,961 last month, the highest on record and a staggering 34% higher than May of last year ($392,954). Homes also continued to sell very quickly, lasting just 8 days on market, on average, down from 9 days on market in April.
The good news for potential buyers is that active inventory – properties that are listed for sale and not yet under contract – jumped 57% from April to May. New listings also increased 21% for a total of 503.
“Real affordability issues are pushing some buyers out of the market. It is not reflected in prices just because it will take some time, but demand is dropping and inventory is starting to rise. At some point later this year the byproduct of those two factors should be a more modest pace of price inflation for homes regardless of what happens with overall inflation,” said Kelly McDaniel, owner/broker of Weichert REALTORS® – Southern Realty Partners in Hendersonville and 2022 President of Sumner REALTORS®.
Aside from the rapidly increasing cost of fuel, groceries, utilities and other everyday expenses, consumers weighing whether to buy a home face a much different financial decision than they did just a few months prior. Following is a breakdown of how the changing market dynamics have affected household budgets during the past 12 months.
May 2021 May 2022
Average price: $392,954 Average price: $525,961
Loan amount with 20% down: $314,363 Loan amount with 20% down: $420,769
Avg. 30-year mortgage rate: 2.96% Avg. 30-year mortgage rate: 5.93%
Monthly payment: $1,322 Monthly payment: $2,504