The latest housing numbers are out, and the median home sale price in the greater Nashville area has jumped to $320,000. That’s up from just over $300,000 one year ago.
This is particularly interesting when you compare the median home sale price in Nashville to the median home sale price nationally, which is $258,500.
According to Re/Max research, home sales overall are down nationally, but Nashville’s housing market is booming. Sales are up over last year, despite low inventory.
Jeff Checko with RE/MAX Advantage told News 2, “We might be down three percent nationally on transactions but we’re up almost six percent here locally. Even in the recession that happened in ’08 and ’09, we do better than what’s happening nationally because we have population growth, we have a conservative fiscal policy that really fuels, and it tracks business.”
News 2 was told just from last month, median housing prices have gone up about 5.8 percent, and a lot of people want new builds.
Checko said, “I think in general people like new things. It’s kind of like a car if you can get something that no one else has lived in and it’s got that smell of floor sealant and that smell of fresh paint, people kind of really feel something about that makes it feel even more special to them, I think.”
So, developers can price those homes a little higher, in most cases.
“In infill market, you see a lot of people that don’t build a lot or haven’t been building for a long time and you see a lot of common mistakes like people are trying to put too big of a home on a home site and they leave no backyard because they just filled it up with this big house on this small home site. Or somebody builds a plan that just doesn’t seem to make sense and isn’t compatible with what’s trending now,” said Checko.
Homes in walkable communities tend to sell faster.
“It’s like street-by-street specific. So, East Nashville’s a great example. Certain little neighborhoods that have either been there forever or just recently renamed or coined something really perform well based on what’s going on around it so you talk about like a Lockeland Springs. It does really well because there’s some walkable amenities, coffee shops, things like that. You talk about Shelby Bottoms over down by Shelby Park, there’s lots of access to greenways and still access to some things like Eastland where you’ve got coffee shops,” Checko explained.
Experts said they don’t see the real estate bubble bursting in Nashville any time soon.
Checko said, “I feel like with our growth, there’s really no signs of that letting up. I’d be shocked if it did, then any type of leveling off should be short-lived.”
Real estate professionals also said if you want to invest in real estate, there are few places safer than Nashville to do it.
News 2 asked if there’s any neighborhood where houses are selling faster than others and were told there’s really not. Families are primarily focusing on suburban areas, while millennials tend to gravitate towards the Nashville infill, or redeveloping, market.
News 2 is reporting on Nashville’s historic growth and the growing pains that come with it. Click here for more Nashville 2018 reports.