KNOXVILLE, Tenn. (WVLT) – In the current sluggish economy, the housing market’s not doing very well, but unlike some cities, it's probably not that bad in Knoxville.

One builder describes the Knoxville market as "having a little more of a valley" than usual.

Tim Ellis is a builder and says, "It's not good for any builder right now, but most of the substantial builders will weather it."

Tim Ellis says that the new home market in Knoxville doesn't usually have the peaks and the valleys like some of the major markets, but right now, Knoxville is probably having a little more of a valley than it normally does."

Ellis says, "But nothing like Nashville or Atlanta or Orlando or Vegas. Those areas have been hit a lot harder than we have."

But it's still bad enough in Knoxville.

Builder Melinda Garrett says, "I've heard of a lot of home builders having to fold and I really hate that, because I want us all to succeed."

Melinda says she's felt the crunch and is not building as many houses at one time as usual.

Garrett says, "I'm used to putting a footer in the ground, selling the house right away. Now, I'm taking my time putting the carpet in now."

The economy is also draining the existing home market. However, realtor Judy Teasley says she's seen more action in the past couple of weeks, but not as much as last May.

Teasley says, "I think everyone is anxious to make this a really good spring season. So you've got builders and sellers very motivated. They want to get to their next step. Everybody sort of wants momentum."

And nature plays a part.

Teasley says, "So everybody sort of looks at the beautiful flowers and the way things are. It's the time."

And if you're looking to buy, Garrett says, "New construction, you can get a better deal. There's a lot of inventory sitting around. A lot of builders did build several homes at once. They've got room to negotiate and flip a house."

Tim Ellis stresses that "if someone buys an existing home, the person selling it may be moving up to a newer, bigger home. So any sale is really good for all of us."

One realtor we talked to said her office is setting up more appointments for showings these days.