Housing Numbers 2009 Year to Date

After a couple of months on again off again here, I thought it time to post an update on our housing numbers for LaVergne, though it’s still not pretty.  I keep hearing we’re at the bottom but my views are less rosy … until the job market stabilizes, the housing situation will remain where it is – or maybe dip even more.  But I’m not an economist nor do I have a crystal ball to gaze into.  Let’s hope that the widening of Waldron/Parthenon Road will bring more retail or industry to our area to make up for some of the jobs lost.

*The numbers:

Homes currently for sale in LaVergne:  311
Number of homes for sale priced at $150,000 or less:  211
Number of homes for sale prices at $150,001 or more:  100

Least Expensive:
Cricket St. , 1344 square feet, 4 bedrooms, 2 baths $39,000 (mobile home)
Willow View, 1364 square feet, 4 bedrooms, 3 baths, $39,000 (another mobile home)

Most Expensive:
Hampton Road Dr., 4500 square feet, 4 bedrooms, 4 1/2 baths, $525,000 (the one with the indoor pool)

Homes Closed since January 1, 2009 in LaVergne:  230
Least Expensive since January 1, 2009: $17,000 (a burned out home actually located in Smyrna and the agent listed it in the wrong area).   Least Expensive ACTUALLY in LaVergne:  $35,000 Willow View (mobile home)
Most Expensive:  $413,765 in the Woodsong subdivision

Homes Closed from January 1, 2008 to July 9, 2008:  300.

Patience, my friends.  It’s a great time to buy.  However if you don’t have to sell I’d say hold tight, though it may be years before we get back to the prices we had in 2006 and 2007.

By the way, I saw a GREAT buy in the McFarlin Pointe subdivision.  A 1520 square foot home in that very nice neighborhood for $152,000.

*Includes all homes in areas 31 and 32 which encompasses Nolensvergne. ;)

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7 Responses

  1. I have to agree with you that unfortunately we are probably not at the bottom of the housing market. In my opinion it is simply supply and demand, and as long as the supply (of houses) continues to be greater than the demand, housing prices will drop. I know in my subdivision which has homes priced from $180k – $230k, there are several homes that are vacant and have been vacant for over a year.

    So a better question is how do we increase the demand for new housing? Well, low interest rates in the early part of this decade spurred demand, but as we see that was temporary. If someone lowered interest rates to 1% today, I guarantee demand would spike, but at some point rates would have to increase and we would be back in this same position.

    I think the fact is we will need to see home prices return to the level they should have been at historically. The median home price in the US in January of 2001 was $171k . Based on an assumed growth rate of 3%, the median home price in 2005 should have been $184k, but it was actually around $230k.

    Home prices for 2008 should have been around $200k, but they were actually around $220k. Based on this, home prices still need to fall another 10% to return to historical norms, meaning we won’t see 2007 prices again until around 2013.

  2. Kathy. Would you be up to doing a like post for Smyrna. I was looking on the real estate websites and the lowest cost property I found was 79,000.

    Also I wonder what our numbers are.

  3. Sure I’ll crunch some numbers tonight and add them to the Smyrna blog. Do you and Elizabeth have plans on the first Saturday of August? We’re thinking about a graduation party for you at Chip’s place. :)

  4. Speaking of retail, I notice a new place opened behind Regions Bank on M’boro Rd and Parthenon. Any idea? I live right behind it but, keep forgetting to drive by it (hard to see from the road).

  5. I’ve seen the building in place ready to lease, but hadn’t realized anyone had leased yet.

  6. Speaking of housing, was the LFE spec/show house along Stones River Road sold? The sign was taken down, and it appears to be occupied. I think the “We build Quantity, not Quality” sign is still out the by the roundabout if I remember right, but I guess they must be winding the building down enough they didn’t need it anymore.

  7. Can anyone tell me more about the neighborhood in the Willowview/Nir Shriebman Blvd. area? I asked one person who was there visiting his mom on Willowview and he said there were a lot of kids and a lot of theft.

    Anyone?

    Thanks for your input.

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