The numbers don’t lie... a month later, and the Nashville housing market is still hotter than a single flame emoji could indicate. 🔥
As we enter the spring market, winter seasonal adjustments will wear off + more inventory will crop up. So, how do you open doors for yourself in a competitive home-buying era? It helps to know the trends, and these local experts hold the key.
Look out for the ‘burbs 🏡
Murat Arik, director at MTSU’s Business and Economic Research Center, says the big story this season will be a move towards outward expansion. Think: The rise of Clarksville, Ashland City, and Columbia — to name a few. But with a production company investment in Hendersonville + thousands of job openings courtesy of Oracle and Amazon’s expansion bringing even more people to surrounding counties, will the supply and demand problem persist?
“I expect actually in March and April, you will see a big increase in housing permits to offer some sort of solution to the housing problem.”
Worth it to wait? 🏡
The Federal Reserve increased interest rates by 0.25% on March 16, and mortgage rates are above 4% for the first time in three years, according to The Tennessean. Katie Jennings, a realtor with Village Real Estate, and Arik both suspect interest rates to continue rising + neither see a dip in the market on the horizon.
What about renting? 🏡
The flourishing job market and low unemployment rate has helped make Nashville one of the top markets for rent growth, according to roofstock. Rent in Nashville has increased by 21.3% year-over-year. Jennings says the booming construction of apartment towers won’t affect the increase in homes being built, however. In fact, she says Nashville residents are ultimately eyeing short-term rentals to begin the home-buying process sooner rather than later.
Securing the upper hand 🏡
Jennings suggests (if you have the ability to wait) looking at new construction homes. New construction homes are a great option for those not wanting to give up proximity to the urban core. Putting a contract in early will lock a lower fixed rate than what the homes will sell for after their completion.
Additionally, going over asking doesn’t always win the home sale. Having a realtor who can remove contingencies, even if the offer price is lower, is oftentimes the route many sellers will take.