🏡 Monday Market Snapshot: What Buyers & Sellers Need to Know This Week

By Buying, Selling July 21, 2025
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Welcome to your weekly real estate update! As we move through July, the Tennessee housing market continues to evolve. Here’s what buyers and sellers should know this week:

📉 Mortgage Rates: A Key Factor in Market Activity

Mortgage rates remain a critical factor influencing the housing market. As of early July 2025, the average 30-year fixed mortgage rate is approximately 6.78%, slightly below the 7% threshold seen earlier in the year. However, rates are still higher than the 6% level that many experts believe would significantly boost affordability and market activity .

🏘️ Housing Inventory: An Ongoing Challenge

Inventory levels continue to be a concern, with many markets experiencing limited housing options. In East Tennessee, for instance, only 15% of homes are considered affordable for the average household, reflecting broader trends across the state .

📊 Market Trends: Stabilization and Opportunities

While the market remains competitive, there are signs of stabilization. According to the National Association of Realtors (NAR), existing-home sales increased by 0.8% from April to May 2025, reaching a seasonally adjusted rate of 4.03 million. However, year-over-year sales declined by 0.7%, indicating a slower pace compared to previous years .

🧭 Tips for Buyers This Week

  • Monitor Interest Rates: Keep an eye on mortgage rates, as even small changes can impact your purchasing power.

  • Be Prepared to Act Quickly: With limited inventory, desirable properties can move fast.

  • Consider Regional Markets: Explore areas with more favorable conditions, such as Knoxville or Chattanooga, where inventory may be more abundant.

🧰 Tips for Sellers This Week

  • Price Strategically: In a market with limited inventory, pricing your home appropriately is crucial to attract serious buyers.

  • Enhance Curb Appeal: First impressions matter; ensure your home is well-maintained and inviting.

  • Be Flexible with Showings: Accommodate potential buyers' schedules to increase the chances of a sale.

🔮 Looking Ahead

The outlook for the remainder of 2025 suggests modest growth. NAR forecasts a 3% increase in home sales for 2025, with a 1% rise in home prices. However, if mortgage rates decrease to around 6%, sales could rebound more significantly in 2026 .

📞 Need Assistance?

Whether you're buying or selling, staying informed is key. Contact us today to discuss how current market conditions can impact your real estate goals.

🏡
Partners Realty Group
(865) 789 – 6677
"Your trusted partner in navigating the Tennessee real estate market."

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About the Author
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John Permaul, CEO/Principal Broker

As the CEO and Principal Broker of Partners Realty Group, John Permaul brings visionary leadership and an unwavering commitment to excellence in the real estate industry. A proud veteran of the U.S. Air Force, John embodies discipline, integrity, and dedication—qualities that have shaped his approach to business and client relationships.

With a robust background as a finance and contracts director, John combines financial expertise and strategic insight to deliver outstanding results for clients and agents alike. His unique skill set ensures that every transaction is handled with precision and professionalism.

Under John’s leadership, Partners Realty Group has earned a reputation for innovative solutions, personalized service, and a client-first approach. He is passionate about building lasting relationships, navigating complex negotiations, and mentoring the next generation of real estate professionals.