Shelby County, which consists of several Tennessee cities including Memphis, experienced a drop in home sales in May compared to the same month last year and also from April. This data was compiled by the real estate information company called Chandler Reports, which also showed that Shelby County recorded 1,242 home sales in May, down 14 percent from 1,446 homes sold in May 2013, and the 1,242 homes sold in May were down 8.4 percent from the 1,356 homes sold in April. Year to date, overall home sales are down 5 percent but average sales prices are up 10 percent compared to the first five months of 2013. 23 ZIP codes in the county showed prices up 10 percent or more.

So what is causing the slack in sales? According to local experts, problems like low bank sales, low consumer confidence, low likelihood of full time employment and tougher lending rules have caused a stall in sales for a large amount of prospective buyers. Buying a home and moving to Memphis is still feasible for many, but a tightening of inventory levels is causing the prices to rise in the Shelby County area.