Chattanooga real estate has greatly benefited from foreclosure sales, reported the Chattanoogan Newspaper on October 6, 2009. The article states that “foreclosure sales have provided a great boost to the broader housing recovery along with tax credits for first-time home buyers and the Federal Reserve’s buying of most new mortgages to keep rates low.” Pending home sales in Chattanooga have increased for the past seven months which is the longest such streak in the series of the index which began in 2001. Economists predict that the rise in pending home sales shows buyers are returning to the market and signing contracts, but deals are not necessarily closing because of long delays related to short sales, and issues regarding complex new appraisal rules.
Statistics regarding Chattanooga homes for sale have kept current homeowners hopeful that a recovery is in sight and that the troubles of property devaluation will soon come to a close. According to the latest figures from Yahoo! Real Estate, Chattanooga’s median price rose three percent to $144,000 while the median price for new homes dropped 0.5 percent to $256,250 and foreclosed property prices dropped just 0.1 percent to $77,999. The increase in the median price reflects a somewhat stabilizing local market in Chattanooga although most analysts predict the bottom of the slump won’t come until the second quarter of 2010.
Luckily for real estate in Chattanooga, the local economy isn’t so depressed so as to stunt growth. Amy Williams of the Chattanooga Times Free Press wrote on October 3, 2009, that revitalized hope for recovery was shown as the Fall Home and Décor Show that was well-attended by people not only from Chattanooga but also all of Tennessee. The show provides new products and design ideas for homeowners looking to spruce up their own dwelling. Analysts note however, that successful shows often lead to increased sales as people become more engaged with the home ownership process.
