Home Sales Pick Up at Expense of Prices

The number of Nashville-area home sales dropped 11% during July, which is a smaller rate of decline than in recent months. And it was the second month in a row with more than 2,000 closings.

Home prices, however, did take a hit, dropping more than $7,000 from the previous month. The median price of a single-family home is now $171,000.

Jay Lowenthal of Zeitlin and Company Realtors says he still considers a price drop of $7,000 a minor fluctuation

“I think sellers have realized and are realizing that they may have to sacrifice a little bit on the price, more so than maybe what they’d initially thought.”

There are about 500 fewer houses on the market compared with last year. Lowenthal says the lower inventory combined with discounted prices could spur more sales. Also, he says the expiration of an $8,000 federal tax credit in November could lead to an additional bump in sales.