Nashville, Tenn. (WKRN) — Residential real estate remains incredibly hot in Middle Tennessee.
List prices are up and inventory is down. Amid COVID-19, upsizing is on the rise, but housing bargains are getting tougher to find as list prices rise high above last-year’s levels, according to Zillow’s Weekly Market Report. A sustained lack of housing inventory and eager buyers quickly snapping up homes are keeping the market stacked in sellers’ favor, Zillow said.
“It’s just so unlike anything we’ve ever seen before,” Ryan Turbeville, Director of Commercial Real Estate, The Ashton Real Estate Group of Re/Max Advantage. “When the pandemic first hit we had a lot of sellers decide to not to list their homes due to fear of random people coming through their home, you also had a lot of developers that paused on new construction just out of uncertainty with where the market was going to go and we still have a lot of people moving here from out of state so you have a decrease in supply and increase in demand and it has lead to a big inventory shortage around town.”
“There are a lot of under-built cities right now,” Norton said.
Here are Zillow’s key findings for the Nashville metro:
- New listings are down 19.9% compared to last year and fell 6.9% from last week.
- Total inventory is now down 14.7% year over year.
- Homes that sold typically went under contract after 37 days- six days faster than last year.
- The median list price is up 5.6 percent year over year to $379,900.
- The median sale price the week ending July 18 was $319,066, 6.1 percent higher than a year earlier.
“Hendersonville is taking a push.. of course Mt. Juliet..really, out of Davidson county really they’re wanting larger lots and bigger houses, lower price per square foot,” Norton said. “The sentiment of buyers is changing. People that are working from home want more space, that, along with the historic lows, with the interest rates, is creating much larger buying power.”
Many are moving out of the city and into the suburbs, according to both Norton and Turbeville.
“You have many situations where the entire family is home at one time, that’s not something we’re used to in America,” Turbeville said. “People are looking for more home and to get that they’re having to move further out in the county because the price per square foot is more affordable out there.”
News 2 is reporting on Nashville’s historic growth and the growing pains that come with it. Click here for more Nashville 2020 reports.