NASHVILLE, Tenn. (WKRN) — March’s real estate is bringing new challenges for hopeful buyers, as the market continues breaking records.
The median sales price in Nashville just reached a new historic high of just over $428,000, according to the latest RE/MAX National Housing Report.
Even so, Greater Nashville homes also continue to sell the fastest in the U.S. and are on the market for only 14 days, down from 16 days last month.
“I think for people who are from Nashville or have been in Nashville for a long time, I think these prices are a major shock. What we’re seeing though, is a lot of people are coming from other regions of the united states where some of these prices are appealing to them,” said Ryan Turbeville, Director of Commercial Real Estate, Ashton Real Estate Group of RE/MAX Advantage
On the flipside, inbound buyers are finding frustration, with many now opting to rent. That extra demand is forcing rental rates to rise about 15%-20% across the city.
“A lot of that comes down to the total lack of inventory were facing right now,” Turbeville said.
Home prices are now up 26% over last year. Even more jarring, our inventory is down a whopping 41%.
“Overwhelmingly, I think the reason home sales are down is because of that lack of inventory. I think we have more than enough demand of people who want to be in homes and can afford homes they simply can’t find them,” Turbeville said.
According to Zillow’s latest monthly report, typical home values in Greater Nashville are $416,472, up 30.6% over last year and $125,366 higher than they were in February 2020.
Now, realtors are hoping April brings more than just showers, but new showings and sales.
“We have more people moving here than we do new construction, essentially, we have to build our way out of this and that requires a lot of housing types, multifamily and single-family,” Turbeville said.