Like the temperatures outside, Shelby County home sales continued to gain steam in July, with key indicators posting double-digit percentage increases over last year.
(Daily News File/Lance Murphey)
Shelby County netted 1,695 home sales in July, up 19 percent from 1,420 sales in July 2012, according to real estate information company Chandler Reports, www.chandlerreports.com.
Average home sales prices jumped 10 percent in July to $156,310, up from $142,180 in July 2012. Total sales volume for the month was $264.9 million, up 31 percent from $201.8 million a year ago.
“We are doing really well with the numbers in our market in July, which is our time,” said Memphis Area Association of Realtors president Regina Hubbard.
“When I talk to agents, they feel better, they’re upbeat, their business is coming back, and they’re breathing again,” Hubbard said. “I feel confident we’ll see it through the end of the year even with interest rates being up just a little bit.”
Of Shelby County’s 33 ZIP codes, 22 had an increase in overall sales activity and 26 experienced an increase in average sales price.
Collierville’s 38017 ZIP code had the highest number of sales in July, with 117 homes taken off the market. Cordova North’s 38016 ZIP code was second, with 114 homes sold. Next was the University of Memphis 38111 ZIP code with 112 sales.
Collierville led the way in sales volume at $36.1 million, while Germantown East’s 38139 ZIP code had the highest average sales price at $389,164.
Year to date, 9,303 homes have been sold in Shelby County, up 10 percent from 8,420 over the same period last year. Total sales volume through July was $1.3 billion, up 22 percent from $1 billion over the same period last year. The average sales price through July was $136,552, up 10 percent from $123,697 over the same period last year.
Hubbard said more and more sellers were entering the market as the industry gains momentum and Realtors are working hard to make sure potential buyers are in position to secure loans.
“Sellers are feeling more confident about the market,” Hubbard said. “We still have a challenge as far as buyers are concerned because lending standards are stricter than in the past. So we have to work with buyers more to make sure they’re ready when it’s time to buy.”
Doug Collins of Prudential Collins-Maury Inc. said the increase in interest rates likely caused some potential purchasers to go ahead and buy.
“You had an uptick in the interest rates, which turns fence-sitters into buyers,” said Collins.
There were 73 new homes sold in July, down 13 percent from 84 new homes sold in July 2012. Through July, 495 new homes were sold in Shelby County, up 12 percent from 441 over the same period last year.
There were 1,622 existing homes sold in July, up 21 percent from 1,336 existing homes sold in July 2012. The average price of an existing home in July was $152,222, up 12 percent from $135,586 in July 2012.
Through July, 8,808 existing homes were sold in Shelby County, up 10 percent from 7,979 last year. The average year-to-date sales price of an existing home was $129,803, up 11 percent from $117,029 over the same period last year.
There were 1,431 non-bank sales in July, up 30 percent from 1,098 in July 2012. Year-to-date non-bank sales jumped 21 percent – from 6,009 to 7,406 – over the same period last year.
There were 264 bank, or foreclosure, sales in July, down 18 percent from 322 in July 2012. Year-to-date bank sales are down 18 percent – from 2,321 to 1,897 - over the same period last year.
Foreclosure notices were down 15 percent in July, with 561 recorded in 2013 compared to 659 last July.
“Overall, the worst of the market ended in 2011 and we’ve been improving since,” said Collins.