The Upper Cumberland housing market has slowed down due to realistic interest rates and decreasing inventory.
Libby Capps is the Upper Cumberland Association of Realtors Board President. She said interest rates are returning back to a normal range of five to seven percent versus three percent.
“We just have a very low inventory,” Capps said. “Builders can’t keep up with the demand, and the rise in interest rates a lot of people are not wanting to put their house on the market because they are looking at a little bit of a higher interest rate if they sell and go into another house.”
Capps said over the past 10 years, some people bought homes with an interest rate below three percent. Capps said that is not the case anymore.
“Two and three were great, but they were really unrealistic to keep up,” Capps said. “When you look historically, you see about five to seven percent. It wasn’t a slow increase. It was a drastic increase, so that really sent shock waves and scared everybody. But now, they are leveling out.”
Capps said the demand for housing remains about the same. Capps said homes under the $300,000 range are still selling at full price with multiple offers.
“It’s pretty much the same situation for Overton, White, Jackson and even over in Cumberland County,” Capps said. “When we have people looking unless they are dependent on a school system, they can go out to Overton County or White County. They are expending out of Cookeville. Whatever is happening in Putnam County, you can add the other counties in.”
Moving forward, Capps said she anticipates people to continue to move to the Upper Cumberland. Capps said it is a by-product of people looking for affordable homes near a growing Nashville.
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