Yesterday, the Federal Reserve increased interest rates by .75 in its ongoing effort to fight the out-of-control inflation. This is the third dramatic increase in a short period. Since January the interest rate for a home loan has doubled. So, we are seeing very few re-finances and a decrease of lending by approximately $400 million when comparing July and August of 2021 vs 2022. $1.6 billion was loaned in 2021 while $1.2 billion was loaned in 2022. We are also seeing a decrease in the number of real estate sales but not in the value of the transactions.
The work week ended with a total of 1,476 documents recorded including 230 Warranty Deeds and 366 Trust Deeds. Property sales had a value of more than $80 million with six being valued over a million dollars; three of those were commercial properties. The property with the highest value, located at the very end of East Weisgarber Rd in the Spring Farm Industrial Park, was purchased by HMC II LLC back in June 2021. Last week, HMC II LLC sold the 3.3-acre property with the address of 5900 Middle View Way to White Realty and Service Corp, for $3.9 million.
In the second notable commercial transfer, Harper Collision Realty Inc. purchased an undeveloped piece of property on Murdock Road (next to Merit Construction’s office). This property, 10542 Murdock Rd., was purchased by Harper for $1.45 million.
The third and final commercial property to make our list is the Tennessee Truck Driving School property located at 1925 Callahan Drive. Tennessee Truck Driving School Inc. sold the property to Callahan Partners for $1.25 million.
Loans made up 366 of the total documents last week. The sum of all loans was $98.2 million with 10 of the loans topping a million dollars or more. The largest loan of the week was funded by Bank of Tennessee for $10.03 million. Bank of Tennessee also funded a $1 million dollar loan. First Savings Bank loaned $3.09 million. Truist Bank had two on the list as well; one for $2.07 million and one for $1.5 million. The others:
The three-year comparison below still looks pretty good, but things are slowing down.
As a reminder, our office has developed a FREE Property Fraud Alert Program. Find out more about the program and register here.
If you’re in need of a speaker for a luncheon, dinner or community event, I have good information which I am happy to share with your group. Give me a call at the office, 865-215-2330, to discuss dates and times.
Have a great week! Go Vols!
Nick McBride is register of deeds for Knox County.