Nashville Housing Market Overview
For the last 10 years, Nashville has been one of the fastest growing real estate markets in the U.S. and even though competition has recently cooled off, real estate experts predict that the local housing market will continue to expand and thrive through 2019 and beyond due to many people flocking to the city. With numerous attractions such as the Grand Ole Opry, the Parthenon, the Johnny Cash Museum, the Country Music Hall of Fame, and more, it’s easy to understand why Nashville, Tennessee has become one of the most desirable cities in the country! Learn more about how Nashville is attracting potential home buyers here
Since 2017, rising demand and prices contributed to a booming seller’s market. In 2019, the Nashville housing market has slowed down but is still projected to grow--making it the perfect time for all of those first-time home buyers out there.
Throughout 2018, the inventory of the local Nashville real estate
market saw a steady increase, making the slow transition from a seller’s market to a buyer’s one. This transition has been a trend in the last few years since property appreciation rates in Nashville, which have been quite high for the past few years, are now starting to increase at slower rates. While still increasing in value, properties are now becoming more affordable for Nashville buyers.
According to www.movoto.com, the current 2019 median list price for a home in Nashville is $389,900. Compared to September 2018 and October 2018, the overall median list price has gone down 1%. Additionally, Nashville’s overall inventory has increased by 4% to 1,034 residential properties since the same time last year, and the median list price per square foot in Nashville has also seen a small increase from $236 to $239. However, properties under foreclosure or short sale have remained the same percentage of the total Nashville market throughout 2018 and 2019.
Nashville Real Estate Market 2019 Insight And Statistics
In all, median home prices and property values are expected to rise for the remainder of 2019. Although the rate of growth is lower than in previous years, this gives buyers a chance in Nashville’s real estate market. Because this slowing down of the market is gradual, sellers need not alarmed. Median home prices are not plummeting, but rather plateauing--creating a more balanced and less competitive market with opportunities abound.
Nashville Real Estate Market Trends - Forecast 2019 and 2020
Currently, Nashville median home prices are estimated at $266,000 and have increased by 7% since 2018. The major real estate platform Zillow
predicts that Nashville median home values
will grow 5.4% by 2020. Keep in mind that right now, the median list price per square foot in Nashville is $193, which is higher than the Nashville-Davidson--Murfreesboro--Franklin Metro
average of $162. In 2019, the median home price for current listings is $319,900 while the same metric of homes sold in $270,500. This serves as a great reminder that buyers always have the option to negotiate listing prices via counter-offers. For individuals or families looking to rent or property owners who plan to lease out their space(s), the 2019 average rental rate in Nashville is $1,675/month, which exceeds the Nashville-Davidson--Murfreesboro--Franklin Metro
average of $1,640/month.
How is the Nashville Housing Market Trends?
- Median List Price$329K
- Median List $/Sq.Ft.$196
- Median Sale Price$269K
- Median Rent per Month$1,695
Nashville Condos Marketing Trends
Condos are becoming a very popular choice with people relocating to the Nashville, Tennessee area. Nashville real estate market statistics: As of May 2019 there are 411 active properties for sale in Nashville with an average listing price of $324,678. Properties in Nashville have an average price of $316 per square foot, based on listings with an average of 2.1 bedrooms, 2.1 bathrooms, and 1,466 square feet of living space.
Nashville Home Prices and Real Estate Appreciation
Currently, there are around 294 new listings in Nashville, TN with an estimated median list price of $329K. Get started by exploring all property types in Nashville.
Transportation in Nashville
Job Market Growth In Nashville, TN
When purchasing a home anywhere, home buyers will need to submit proof of income and employment in order to qualify for a home loan. This is why it’s important to look at data related to the local job market and see how it correlates to housing and real estate trends. Currently, the regional workforce overview provides information on several different sources of job market statistics for various sectors and industries—accounting for population growth, in-migration, and commuting patterns. In all, the Nashville metropolitan statistical area (MSA) is home to 1.9 million people, making it the 36th largest metropolitan area in the nation and 6th largest in the Southeast U.S.
Lately, Nashville has experienced a steady increase of high-skilled laborers in accompaniment with the city’s population growth. Back in 2016, Nashville was named the No. 7 Best-Performing City for creating and sustaining employment opportunities and economic growth. It should then come as no surprise that Nashville’s employment rate has increased by an average of 3.1 percent for the last five years, while the nation’s employment has only grown at an average annual rate of 1.5 percent.
As of November 2018, 2.6 percent of Nashville’s residents, or 27,544 people, were unemployed. A further look into this reveals that nearly 2,500 unemployed people in Nashville have previous work experience in professional, scientific, or technical services. In recent years, Nashville’s workforces have increased significantly due to population growth and in-migration. while the state’s low unemployment rate signals that residents and high-skilled individuals have no issue finding a position in the city. Furthermore, the region’s employment growth demonstrates that employers are successful in accommodating commuters as well as in-city residents.
Economic conditions in the Nashville HMA are strong due to employment growth rates that have doubled the national average since 2010. Non-farm positions in the HMA averaged about 969,300 jobs throughout the 12-month period ending in July 2017 and increased by 33,600 jobs, or 3.6 percent, from the previous year. Every sector in the HMA added jobs during this year-period, and this growth was led by the professional and business services sector. Job growth is expected to remain strong at an average annual rate of 3.4 percent over the next 3 years.
Nashville Job Market Forecast 2019
Did you know that the greater Nashville area was ranked as the strongest metropolitan economy in the U.S. by POLICOM’s latest annual community “economic strength” rankings? Because of its diversified economy, Nashville has experienced stable and steady long-term economic. Just this year, Nashville was listed as No. 1 under the 10 Strongest Metropolitan Areas (Out of 383)!
(UPDATED: January 2020)
Nashville a Top Real Estate Market For 2020
Before we get to the Nashville real estate market predictions for 2020, we should have a quick look of Nashville real estate market 2019 figures.
Nashville Real Estate Market 2019 Figures
- Median Property Price: $329K
- Real Estate Listings: 1,267
- Days on Market: 63
- Price to Rent Ratio: 21
- Median Rent per Month: $1,695
Nashville Real Estate Market Trends 2020
Nashville home values have gone up 3.6% over the past year and according to many analysts’ predictions, they will rise 3.2% in 2020. The median list price per square foot in Nashville is $190, which is higher than the Nashville-Davidson--Murfreesboro--Franklin Metro average of $161. Graph Credits: Zillow.com
Major Trends in the Nashville Real Estate Market Forecast 2020
Now that you know how Nashville real estate investments are currently performing, it’s time to get to the Nashville housing market predictions for 2020.
- Real Estate Prices Will Appreciate
- Nashville, TN Homes for Sale Will Remain Affordable
- Nashville Will Remain a Buyer’s Market
- Single Family Homes Will Dominate the Nashville Housing Market
- Nashville Rental Properties Will Enjoy High Demand
- Return on Investment Will Be High in the Nashville Real Estate Market 2020
Nashville, TN Rental Market Trends
These latest real estate trends could benefit those who are planning to buy a home in Nashville in 2020. Overall, things look positive for property managers and owners in Nashville. Though the oversupply of new units has softened rent growth and occupancy rates, for the time being, Nashville’s strong job market and population growth will ensure continued demand from renters for the foreseeable future. According to the different search on marketing trends:
Nashville Rental Market Statistics
- » Median rent for a 1-bedroom in Nashville: $921
- » Median rent for a 2-bedroom in Nashville: $1,131
- » Year-over-year rent growth in Nashville: 1.4%
- » The rental vacancy rate in Nashville: 7.5%
- » Rent to cost of homeownership ratio in Nashville: 0.6
- » Rent as % of household income in Nashville: 21.7%
Nashville Housing Market Statistics
- » The median home sales price in Nashville: $259,300
- » Year-over-year home sales price growth in Nashville: 2.8%
- » Home price to income ratio in Nashville: 142.3
Nashville Economic Statistics
- » 5-year projected population growth in Nashville: 1.4%
- » 5-year projected employment growth in Nashville: 1.3%
- » The annual mean wage in Nashville: $48,370
Best Neighborhoods in Nashville, TN for Real Estate Investment
- NeighborhoodMedian Sales Price
- Green Hills$945K
- NeighborhoodMedian Sales Price
- The Gulch$475K
- Elizabeth Park$120K
- 12 South$759K
Your Go-To Nashville Real Estate Professional
The Bottom Line When Investing In the Nashville Real Estate Market
No matter where you are--if you’re a first-time buyer or beginner in the real estate investment business, it’s important to seek out a real estate professional
who can help you navigate the buying or selling process with ease. One of the key benefits of the 2019 Nashville housing market
is the median home price and value--which is considered more affordable than the majority of other popular metropolitan real estate markets in the U.S. Although the Nashville housing market is expected to slow down for the rest of this year and through 2020, this will be the perfect opportunity for buyers since home prices have started to plateau. With mortgage rates at record lows, this beautiful city’s real estate is more affordable for newcomers and natives alike. Need help finding the home of your dreams in Nashville, Tennessee? Contact Nashville real estate expert Amy Jackson Smith
today to start your real estate journey on the right foot! (615) 300-1025