NASHVILLE, Tenn. (WKRN) — The median home price in Greater Nashville is now up to $480,000, up nearly $100,000 over last year, according to Greater Nashville Realtors.
“Buyers, especially if you haven’t landed a home already, they’re frustrated right now because some have been looking for a while and, in that time, prices have gone up almost 24% here in Nashville, and on top of that, interest rates have gone up almost 2% for some folks,” said Steve Jolly, President of Greater Nashville Realtors.
Fannie Mae’s National Housing Survey shows consumer sentiment has dropped three months in a row to the lowest levels seen since May 2020, early in the pandemic.
The median price for a residential single-family home was $480,000 and for a condominium, it was $337,628. This compares with last year’s median residential and condominium prices of $385,000 and $264,525 respectively.
“It is shocking what it costs,” Jolly said. “I’ve lived here since 2000, and what i paid for my home would be an incredible deal these days and I wouldn’t be able to afford to live where I live right now if I hadn’t have bought back in 2001.”
This is likely why home closings reported for the month of April are down 7% over last year.
However, this is good news for fatigued buyers.
“If they’re still in the market, this gives them a bit of opportunity because there’s less competition out there so they don’t just give everything away like they did a few months ago,” Jolly said, adding that the number of buyers is dwindling. “Instead of having 15-20 buyers for every home out there, now we have 5-10. So there’s still competition, but it’s a lot less than it was before.”
Even so, it’s important to do your homework and move quickly.
“I think Nashville is still a great market a great way to invest. I think real estate right now is a great hedge against inflation and its the one asset were seeing that’s constantly growing in value so if I was going to invest money somewhere right now I’d buy in Nashville or someplace just like it in real estate because I think that’s the best investment we have going right now,” Jolly said.