Here are a couple of charts to wrap up the year that was 2012. It’s easy to get wrapped up in “OMG, sales were down month over month!” kind of news in the monthly write-ups, so getting a long view on where we are vs. where we’ve been can really put things into perspective. And luckily for us, this year’s perspective is a lot sunnier than last year’s 🙂
Last year, without the pink column at the end, this chart looked kind of like a staircase down into Real Estate Hell. But this chart really shows you how much stronger the market was in 2012 vs the three previous years. In fact, it was on par with old 2008, which was right around the time this whole mess started. If you haven’t taken a moment to privately thank 2012 for all its hard work, now would be a great time to do so.
This next chart shows the yearly average price of a 3 bedroom home:
While this chart is not quite the ray of sunshine that the last one was, it’s still not too shabby. “But, but, but,” I hear you say, “prices did not skyrocket up in 2012. How can that NOT be shabby?” Well, because a) we don’t want prices to skyrocket (that’s kind of how we got into this mess) and b) prices may not have soared, but the average price for a 3 BR home (which is a nice cross section of the market to look at) was slightly up, meaning, not only were sales strong, but they stayed strong without having to further slash prices. In other words, we didn’t have to put all that inventory on clearance to get rid of it. See, not so shabby 🙂
And here’s what I had to say last year in the 2011 wrap-up:
Whether or not 2012 will be the year these numbers finally start to go up is anybody’s guess, but I’m guessing it’s a possibility. At the very least, I’m thinking they might just stay flat, which relatively speaking, would still be pretty good news given the ride the market has been on over the last 4 years. At the very least, I think it’s safe to say that the coming year will be anything but boring. Stick around for the fun 🙂
Well, we did a LOT better than I had cautiously hoped in 2012 and that’s not too shabby either. All in all I’d say it was a pretty great recovery year for the Knoxville real estate market, and for that, I am eternally grateful. After several years of sellers and agents feeling pretty beaten up, it felt good to have some good news for a change.
We didn’t have a lot of expectations for 2012, but the bar is now set pretty high for 2013. At the very least I would hope it could hold the gains we saw in 2012 and at best, I would hope we would see another slow, gradually recovering year. But I stick by my 2011 prediction that whatever happens, it certainly won’t be boring 🙂
All data taken from Knoxville Association of Realtors (KAAR).