Nashville Housing Market: Trends & Prices

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    Nashville Real Estate Market Overview

    (Last Updated – 11/2021)

    While some know of Nashville as the Country Music Capital of the World, others know it as a great place to live. In fact, U.S. News has named Nashville the 30th best place to live in America.

    The access to amazing music is part of the Nashville appeal, but so are the unique museums and architecture. Foodies have as many vegan options as they do barbecue.

    Not to mention, it’s considered to be an affordable city compared with other major U.S. metro areas. As a bonus, Tennessee is one of the few states that don’t tax wages, which may contribute to Nashville’s homeownership rate of 70%.

    Recommended: Price-to-Rent Ratio in 50 Cities

    Between 2010 and 2020, the Downtown neighborhood alone saw a 152% increase in population growth. And that’s just one of many Nashville neighborhoods.

    One more number worth mentioning: Nashville ranked eighth in the Milken Institute’s 2021 Best Performing Cities. The index rates cities based on job creation, wage growth, housing affordability, and high-tech growth. Home to major employers such as Vanderbilt University Medical Center, Nissan North America, Asurion, and Amazon, Nashville could be a great place to start or advance a career.

    If you’re starting to see the appeal and thinking about buying in Music City, keep reading for details about the Nashville real estate market.

    Recommended: Home Ownership

    $400,000

    Avg. Sale Price

    $234

    Avg. Price Per Sq. Foot

    30 days

    Avg. Time on Market

    Nashville Housing Market Forecast

    One of the hottest housing markets in the country, Nashville saw home values rise by 16.2% over the past year.

    Real estate experts expect the Nashville market to remain a seller’s market for the foreseeable future, largely because inventory cannot keep up with demand.

    Housing market forecast chart

    *Graph taken from Zillow as of 09/2021

    Impact of Covid-19 on the Nashville Housing Market

    Housing reports show that the onset of Covid-19 in March 2020 caused a major disruption to Nashville’s real estate market. Home sales plummeted during the second quarter as the restrictions of the pandemic limited homeowners’ ability to sell and move. By the summer of 2020, the recovery of Nashville’s housing market was underway. The market continued to gain steam as out-of-state home seekers sought to escape stricter Covid restrictions and high taxes.

    Despite low inventory and fairly high competition, buyers continue to flock to Nashville. Closings in August 2021 were reportedly up 6% from a year ago, while inventory was down over 26% from August 2019.

    One of the reasons that demand for Nashville housing is at historic highs has been low mortgage interest rates. While real estate agents report that they are seeing a slow rise in inventory, the market will stay competitive for the foreseeable future if there is not a substantive increase in housing supply and interest rates remain low.

    Demographics of the Nashville Market

    When people think of Nashville, country music may be the first thing that comes to mind. But this capital city has a lot more to offer than meets the eye.

    From world-class dining to art, sports, and education, there are adventures to be had in this cool city. Here are some key demographics in Nashville.

    Median Income: $59,828

    Median Age: 33

    College Educated: 41.1%

    Homeowners: 53.9%

    Married: 40.6%

    12 South

    12 South may be one of Nashville’s smallest neighborhoods, but size doesn’t matter when it comes to this in-demand destination just south of Downtown.

    A stroll down bustling 12th Avenue, 12 South’s main drag, makes it clear why this area has become a go-to spot for the young millennial crowd. Home to an eclectic dining scene, trendy boutiques, craft cocktails, and Dolly Parton’s rehearsal studio, 12 South has everything you could need within walking distance of home, including the 20-acre Sevier Park.

    Quick Facts

    Population:

    2,821

    Median Age:

    28

    Housing Units:

    1,114

    Bike Score:

    75

    Walk Score:

    34

    Transit Score:

    58

    Average Household Income:

    $113,403

    12 South Housing Market

    The 12 South housing market certainly shows no signs of going south. The average home price went up 35% over the past year, and the price per square foot went up 67%.

    Some homes get multiple offers in this somewhat competitive neighborhood and can sell in 15 days. Popular homes typically sell at 3% above list price and often get scooped up in only five days.


    Average Sale Price

    $1,000,000

    Average Price Per Sq. Foot

    $468


    Hope Gardens

    Hope Gardens is full of young professionals who are building their lives and buying homes. Grade-A nightlife and dining options add to the appeal of Hope Gardens, as does its diverse and urban feel.

    Quick Facts

    Population:

    18,011

    Median Age:

    31.6

    Housing Units:

    9,274

    Bike Score:

    56

    Walk Score:

    76

    Transit Score:

    61

    Average Household Income:

    $69,708

    Hope Garden Housing Market

    If you’re looking to buy a home in Hope Gardens, there is plenty of hope to be found. On average, homes in this area sell for 1.4% below list price and tend to stay on the market for roughly 80 days, so get ready to haggle.


    Average Sale Price

    $782,000

    Average Price Per Sq. Foot

    $300


    Germantown

    Germantown has European roots and received its name from the European immigrants that settled the area in the mid-19th century.

    This historic community is just a few blocks from Downtown and hosts the Tennessee State Museum and Bicentennial Capitol Mall State Park, making weekends with the family a blast.

    Quick Facts

    Population:

    18,011

    Median Age:

    31.6

    Housing Units:

    9,274

    Bike Score:

    73

    Walk Score:

    75

    Transit Score:

    50

    Average Household Income:

    $69,708

    Germantown Housing Market

    Prices are on the rise in Germantown. In the past year, home values rose by 36.4%, and homes in this area on average sell for $675,000.

    Even though Germantown is considered somewhat competitive, average homes sell for close to list price and stay on the market for 37 days. However, some homes receive multiple offers and sell in around eight days.


    Average Sale Price

    $675,000

    Average Price Per Sq. Foot

    $500


    East End

    East End is one of the largest neighborhoods in Nashville, so you should have plenty of great home options to choose from in this area.

    East End is rather self-contained, which means you can find everything you need right in your own neighborhood, including fine dining and amazing public parks.

    Quick Facts

    Population:

    26,382

    Median Age:

    32.8

    Housing Units:

    13,206

    Bike Score:

    51

    Walk Score:

    88

    Transit Score:

    42

    Average Household Income:

    $82,068

    East End Housing Market

    While the housing market in the East End cooled down a bit, this neighborhood is still in buyers’ sights. Prices are up 5.3% compared to last year, and the cost per square foot rose by 14% on average.

    Average homes in this somewhat competitive market sell for roughly 2% above list price and stay on the market for around 34 days.


    Average Sale Price

    $500,000

    Average Price Per Sq. Foot

    $374


    Downtown

    You want it, Downtown Nashville has it—from museums and sports, to shopping and restaurants galore. There is no shortage of fun to be found Downtown.

    It is also the home of Nashville Yards, a new 17-acre development in the heart of Downtown, featuring dining and retail, entertainment, a high-end hotel, residential, office space — and Amazon Nashville’s headquarters.

    This dynamic, urban neighborhood has a lot of great apartment options, but you can also consider buying property that will keep you close to work, public transit, and all the entertainment you can hope for.

    Quick Facts

    Population:

    1,660

    Median Age:

    32.7

    Housing Units:

    1,421

    Bike Score:

    65

    Walk Score:

    86

    Transit Score:

    68

    Average Household Income:

    $85,016

    Downtown Housing Market

    While the Downtown social scene and career options may be hot, Downtown is not one of the most competitive housing markets in Nashville.

    Typically homes in this neighborhood sell for around 2% below their list price, don’t receive multiple offers, and sell in about 48 days.


    Average Sale Price

    $560,000

    Average Price Per Square Ft.

    $552



    SoFi Home Loans

    It’s easy to see why Nashville has become such a popular market. The appeal extends well beyond country music to art, food, commerce, sports, and outdoor adventures.

    If you think Nashville could be your home sweet home, then you may need to consider your home loan options.

    If you’re buying a home or refinancing an existing mortgage, SoFi can help you make the process as quick and painless as possible.

    Learn more


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