The Memphis area’s median home price saw a small decrease in the first quarter of 2024, according to data released by the Memphis Area Association of Realtors.
The median sales price decreased from $196,000 in the first quarter of 2023 to $189,000 in the same period this year, a 3.6% change. The association’s report includes data from Shelby, Tipton and Fayette counties.
Joel Hobson, principal broker and owner of Hobson Realtors, said the small overall decrease can be attributed to the market finally nearing some stability after the COVID pandemic. One aspect of the market that is evening out is interest rates.
“It’s going to be kind of an up-and-down situation on interest rates, I believe,” Hobson said. “I think these kind of interest rates that we have in the 6 to 7 (percent) range are probably going to become the new normal at some point.”
Hobson said that while he didn’t personally notice the small median decrease, relatively little change in home prices, up or down, is a good thing for both buyers and sellers.
“Most people that sell also buy,” Hobson said. “It’s great when they sell, but if they don’t know where they’re going to go, they end up not putting their house on the market because they don’t think they can find a house. So a more even market… is going to be good for everybody.”
Hobson’s overall assessment of the market in Memphis is a positive one, for both current residents and those looking to move to the Bluff City.
“Memphis is still the least expensive major city in the country to buy a house,” he said. “And people are figuring that out from all over the country.”
Here is a closer look at Memphis neighborhoods and the prices changes they saw in the first quarter.
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Memphis-area home price decreases by neighborhood
Fortunately for Memphis buyers, several neighborhoods saw decreases in the median sales price over the first quarter of 2024. The data compares prices from January to March 2024 to the same period in 2023.
- Berclair had a modest decrease, going from a median price of $95,000 to $89,000, a 6.3% change.
- East Memphis saw a decrease of 2.4%, going from $205,000 to $200,000.
- Raleigh saw a 2.0% decrease, with the median price going from $148,000 to $145,000.
- Whitehaven saw the median price slightly drop from $116,300 to $114,750, a 1.6% decrease.
Memphis-area home price increases by neighborhood
Other Memphis neighborhoods saw increases in median sales price, although most were small increases. The data once again compares prices from January to March 2024 to the same period in 2023.
- South Memphis saw the largest increase to the median sales price in the city at 11.9%, up from $65,000 to $72,750. The area still remains the cheapest to buy in in the city.
- Southwind’s median price went up from $321,905 to $346,000, an increase of 7.5%.
- Midtown’s median price increased 3.4% increase, going up from $164,250 to $169,900.
- Hickory Hill saw a 1.6% increase, as the median price went from $172,250 to $175,000.
- Frayser had a 1.1% increase, with the price going from $90,000 to $91,000.
- Parkway Village had negligible increase, as the median price only went up from $120,000 to $120,450, or 0.4%.
Jacob Wilt is a reporter for The Commercial Appeal. You can reach him atjacob.wilt@commercialappeal.com.
