Tuesday, June 12, 2018

Memphis Housing Market Continues on a Linear Decline Path, Needs Reversal

(Click on the image to enlarge)
After having jumped from $107K to $131K, the monthly median takes a nosedive back to the point of origin, thus pointing to a totally directionless market. Both trendlines are confirming the linear decline. The absence of sideways or support makes the market even more unpredictable. 

The normalized trend (bottom chart) is in tandem as well, shooting up from $68/SF to $80/SF and then quickly falling back to $72/SF. While both trendlines are rejecting the sharp drop in December (#12), they are nevertheless confirming the overall trend. If this downward trend continues, the market will enter into the negative territory in not too distant future. 

Note: This analysis covers the City of Memphis, not the entire Shelby County.

- Sid Som, MBA, MIM
President, Homequant, Inc.



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