The Nashville real estate market is one of the strongest in the country. The city has come to be known as a place where potential buyers can find new homes at lower prices than other major cities like Chicago and New York City, due to its low cost of living. Experts say that there are multiple factors contributing to this housing boom including an influx of younger people moving into Nashville from more expensive areas around the US.,

The “nashville housing market predictions 2022” is a question that has been asked many times. The answer to this question is that Nashville’s real estate market is riding high because of the city’s low cost of living, job growth, and increasing population.

Why Nashville’s real estate market is riding high

Music City, United States of America, just surpassed Vegas as the city with the most bachelorette parties.

Tennessee’s capital has long been known as the home of country music, but its status as the primary prenuptial party city for the $72 billion wedding business in the United States shows how far it has grown.

A record-breaking 2.8 million marriages were held in 2021, at an average cost of $21,600, which was much lower than prior years. However, according to Mallory Strange, proprietor of a local bachelorette party organizing company, expenditure on bachelorette parties has increased, particularly in Nashville.

Bach Babes, Strange’s firm, was founded in October 2020. She told CNBC nine months later, in July 2021, that her income had topped $100,000: “We’re growing at an exponential rate.”

Nashville, on the other hand, is most renowned for country music, having been dubbed the “Birthplace of Country Music” after cultivating the early scene in the 1950s. Everyone wanted a piece of the action and a shot at stardom on venues like the Grand Ole Opry as the genre grew in popularity.

Name a country star, and they’ve most certainly lived and played here, from Patsy Cline (who has her own museum in town, in a building dedicated after Johnny Cash) to Taylor Swift. In 1956, The Man in Black made his Grand Ole Opry debut, while Dolly Parton, a youthful spitfire, had her first recorded smash in 1966. In 1967, the Country Music Hall of Fame was established.

But Nashville is more than just kicking and scooting beach shots, and the real estate market has caught on. It’s on fire, much like everything else in Tennessee’s capitol right now.

isockphoto contributed this image.

The underlying story behind Nashville’s burgeoning real estate industry

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Nashville’s housing market has a major drawback that its Sunbelt counterparts, such as Charlotte and Atlanta, share. The continuous exodus from major cities such as New York, Los Angeles, and San Francisco is driving up costs.

Home prices in the metropolitan region hit records in 2021, according to Greater Nashville Realtors, and are expected to continue to rise in 2022.

  • A single-family home’s typical list price is $446,175, up from $357,150 in February.
  • There are fewer houses on the market. At the end of February this year, 1,338 sales were pending, compared to 3,229 at the same period in 2021.
  • Between early 2021 and early 2022, the average price increase was 23.7 percent. “And we’ll probably see the same thing this year,” says Steve Jolly, president of the Greater Nashville Realtors in 2022.
  • The overall market and single-family home inventory in Middle Tennessee were both down. The number of residential homes on the market at the end of February was 3,378, down from 4,477 in February 2021.
  • Homes are staying on the market for an average of 28 days, down from 37 days last year.

“It’s clearly a seller’s market,” says Mary Nell “Murn” Roberts, a Compass RE agent, adding that single-family buyers in attractive neighborhoods may spend $500 to 600 per square foot, and it’s not uncommon for a property to have 20 or more bids.

“It’s insane,” she exclaims.

Rents are also quite costly. “‘Unprecedented times,’ as Nashville rentals rocket to unprecedented heights,” the Tennessean, the city’s primary daily newspaper, reported in January. According to Zillow statistics from December 2021, the average rent had climbed to $1,788, up 18.9% from the previous year. Newcomers are paying the price because of the housing shortage, whether they like it or not.

ANPerryman / istockphoto contributed to this image.

Nashville is a business and musician-friendly city.

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Nashville is a city to keep an eye on. Wealth-X, a research organization, has ranked the previously honky-tonk town among the world’s top 30 growing cities.

Nashville, which has traditionally attracted healthcare firms as well as singers and guitarists, is poised to become a tech hotspot as Amazon, Oracle (which is now developing a $1.2 billion Cumberland Riverfront campus), NTT Data, AllianceBernstein, and other companies set up shop.

“Businesses are flocking to Nashville because it is a very business-friendly state,” adds Jolly. “Investors from all around the country, as well as foreign players, are flocking to Nashville.”

Ordinary folks are paying attention. Greater Nashville, according to a Bloomberg examination of LinkedIn data from 2021, outperformed other target locations by attracting the second-largest migration of IT talent in the United States between May 2020 and April 2021. (Austin was ranked first.) A net gain of 155 software and information technology employees per 10,000 population came from the wave.

Tennessee is an ideal location for businesses seeking a national presence since it has no income tax and is strategically placed in the South. It attracts visitors and retirees due to its four seasons (it even receives snow in the winter) and beautiful flora.

All of this comes with a catchy tune and crispy-fried, sauce-soaked hot chicken on top in Nashville.

Deposit Photos provided the image.

Nashville has a long history of conquering.

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Nashville, Tennessee’s capital, was established in 1779 and named for Francis Nash, a Continental Army leader. It was the first Confederate capital to fall to Union Army forces in 1862.

The city’s population was one-fourth enslaved and free Black inhabitants at the time.

According to research by Learotha Williams Jr., a history professor at Tennessee State University, Nashville has long been a hub for the slave trade. In 2018, Williams was a member of a group that was successful in getting a monument honoring the Nashville slave market erected downtown, only a few steps from City Hall.

“People were compelled to come here a hundred and fifty years ago,” he stated during the inauguration of the sign. They had no other option.”

Nashville experienced a new era after the war. The city, which is located on the Cumberland River, grew as an industrial center, with enterprises producing iron, milled timber, wheat, equipment, and cotton, as well as in-demand items like tobacco and whiskey.

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When did the Nashville real estate market begin to expand?

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As a result, it grew. Nashville has extended far and wide, serving as the seat of Davidson County and sharing most of its geography — as well as a consolidated municipal administration.

The metropolis has grown to include 500 square miles. The skyline, industry, and degree of diversity have all changed over over two centuries. Nashville, for example, has around 15,000 Kurdish citizens, many of whom are descended from refugees who arrived in the United States in the 1970s, as well as individuals of all other ethnicities and faiths.

The population of Davidson County was estimated to be over 716,000 people, or 1,243 persons per square mile, according to the 2020 Census, up almost 15% from a decade before. The Tennessean estimated that a new inhabitant arrived every hour.

Nashville, often known as Nashville-Davidson, is the 21st most populous city in the United States and the fourth most populated in the Southeast. According to U.S. News & World Report, it is the 23rd best location to retire, the 30th greatest place to live, and the 25th fastest expanding area in America.

Some have dubbed it the Athens of the South because of its full-scale architectural replica of the Parthenon, and it is a major educational center with 22 colleges and institutions. According to the 2020 U.S. Census, more over 43% of inhabitants had a bachelor’s degree, which is more than the national average of 36%.

The city also has the highest number of churches per capita in the country, with over 700, giving it the moniker “Buckle of the Bible Belt.”

It’s also known as Smashville and Gnashville, which refer to the pro hockey team’s strength and its saber-tooth tiger mascot, respectively; Cashville, which was coined by local rapper Young Buck; and Nashvegas, which refers to the glitzy strip that runs along Lower Broadway and the Honky Tonk Highway.

Dennis Garrels / iStock contributed to this image.

Nashville’s standard of living

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Margaret Littmann, author of the book 52 Things to Do in Nashville (Moon), adds, “There is a very tangible rate of progress here.” Littman, an Idaho native, arrived in Nashville in 2007, set up her writing studio, and became a first-time homeowner in the now-famous East Nashville neighborhood.

“It’s the most creative place I’ve ever lived,” Littman says of the city, noting that the atmosphere encourages visitors to try out new ideas.

She says, “People in Nashville do insane stuff.” “That’s fantastic.”

Failure is more of a shrug in Nashville than a stigma after more than a century as a make-it-or-break-it music metropolis. People try out their greatest concept or song and then move on to the next one if it fails.

In addition, several unusual projects find a place in the city. Amelia’s Flower Truck, a fleet of vintage pickup trucks, may be seen selling fresh-cut flowers anywhere, at any time. The Donut Distillery, which offers alcoholic, whiskey-glazed doughnuts, is often busy.

Bach Babes, which organizes housing, tapes up decorations, schedules excursions, and makes restaurant reservations for female posses hitting the town, brings in roughly $19,000 every month, capitalizing on the city’s increased tourist reputation.

“It’s just a super popular site for bachelorette parties for some reason,” Littman adds.

Nashville’s artisanal food and craft culture is flourishing, and residents support independent coffee shops, bakeries, and other companies.

East Nashville (where Littman lives, a peripheral settlement that was once a rustic summer place for city folk), Germantown to the north, Green Hills to the south, Hillsboro Village/Belmont for proximity to Belmont and Vanderbilt Universities, and further west, areas called West End and the Nations, a newer, family-friendly district currently undergoing significant development, are among the city districts desired by locals and arrivals, according to Littman.

“Many houses have home music studios,” Littman says of one peculiarity of many neighborhood residences that is also a creative advantage.

Dennis Garrels / iStock contributed to this image.

A metropolis in the center of the Southeast with plenty of opportunity for expansion

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Nashville boasts that nine of the top ten metro cities in the United States are only a two-hour flight away, while Littman claims that half of the country’s population resides within a day’s drive of the city. (It’s just over a 10-hour journey west to Dallas.)

“It becomes fairly rural really soon just outside of Nashville,” Jolly recalls. “North and northwest of downtown is where the most undeveloped property lies. I believe it will continue to evolve over the next decade.”

The city’s rural outer ring has become more enticing to property searchers and developers as the metropolis has moved out, especially in the past two years as remote work has grown in response to the Covid-19 outbreak. The most sought-after and developed suburbs are Franklin, Smyrna, Hendersonville, Brentwood, and Murfreesboro.

However, the metropolitan region of Nashville, which reaches all the way to Tennessee’s northern state boundary, is made up of nine counties: Cheatham, Dickson, Maury, Montgomery, Robertson, Rutherford, Sumner, Williamson, and Wilson.

The area that contains them, highlighted on commerce maps as “Middle Tennessee,” has a population of 1.9 million people, making it the biggest metro area within the five-state region.

Springfield, Whitehouse, Fairview, Columbia, Dickson, and Ashland City are among the up-and-coming areas, according to Jolly. Infill build-to-rent or renovate-to-rent are preferable above flipping, according to him.

“Deals are hard to come by in Nashville,” he adds.

SeanPavonePhoto / iStock contributed to this image.

Nashville has its issues, but there’s a lot of potential.

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Tennessee, like other southern states, has frequent tornadoes and other weather phenomena. Both a 2010 flood and a tornado that struck Nashville’s downtown area in 2020 caused substantial damage.

But Littman, the guidebook writer, feels the good outweighs the bad. The city’s festivals, like Tin Pan South, CMA Fest and Bonnaroo Music & Arts Festival, not to mention Nashville Pride, draw tons of visitors, but those who are staying are here for the beauty of the area and proximity to nature, including mountain peaks and waterways.

“There are a lot of transplants here,” adds Littman. “You can get everything you desire.”

Despite some perplexing negative news — Republican gerrymandering in the area’s congressional districts, low Covid immunization rates — this metropolis is bursting at the seams.

Willie Geist, co-anchor of MSNBC’s Morning Joe and a Vanderbilt alumnus, is a fan.

“Man, Nashville.” He describes it as “the place to be.”

MediaFeed.org syndicated this story, which first appeared on MYND.com.

Image credit: iStock/Ultima Gaina

MediaFeed has more.

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Dragana991/istockphoto contributed this image.

AlertMe

Nashville’s real estate market has been riding high for a while. The city has seen the median home price increase by 28% in the last year and is expected to continue to grow. Reference: home prices.

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