Market Stable in Mid-State Tennessee

The current U.S housing slump, the worst in 16 years, has produced a growing strain on Wall Street and all of those involved in the real estate industry. In the 3 months ending June 30, sales of existing single family homes in Tennessee fell 21.5 percent, compared with the same period a year earlier, the National Association of Realtors reported. Only 3 states fared worse than Tennessee in sales: Arizona, down 23.4 percent; Nevada, 37.5 percent; and Florida, 41.3 percent.

However, the median price on home sales in the Nashville area has remained solid, rising to $189,900 in July of 2007, up 5 percent from the previous year. Nashville unlike other areas has not seen any big rises in prices, nor had any substantial drops and the local economy is still strong, with jobs being created and people moving to the area. Home prices in Middle Tennessee have increased from 3 to 6 percent a year according to Richard Courtney, president of the Greater Nashville Association of Realtors. The next challenge in the forth coming months will be to overcome the credit squeeze lenders and borrowers are now facing with loans drying up and lenders shutting their doors.