Nashville Market Report Q1 & Q2 2020

“In our experience, the number of local buyers and sellers is remaining consistent with past years. We have seen two major market changes that are changing things locally. First, there has been a major increase in the numbers of buyers coming from larger, more densely populated markets such as, Seattle, Chicago, New York City, and all of California. Nashville is no longer a “best kept secret.” Secondly, and the most surprising byproduct of COVID-19 for us has been the increased demand for luxury housing. This is seemingly a combination of people spending more time at home, and real estate being less expensive in Nashville compared to the markets people are moving from. The local property tax increase is something that was needed and should have incrementally been implemented in phases over the last 10 years. The can kept getting kicked down the road and a massive increase was necessary all at once. We don’t see this having a major negative impact on the Davidson County market because so many people buying are from other larger cities where their taxes are far higher than our increased taxes, and they get less benefits from them.”

— DARIN & CHRISTINA CUNNINGHAM

“There is no question in my experience that COVID-19 is reshaping our housing market. What is typically a “Spring” market has shifted into a mid-late Summer market and seems likely to continue through the Fall. Many are working from home, while some children are still schooling from home which has families reinventing their current spaces and even some who are searching for new homes to meet their “new needs.” While locals are trending towards the suburbs (particularly Williamson County) for tax relief and more space, the transplants from the Northeast, Midwest and West Coast seem unfazed by the Davidson County tax increases. The decrease of days on market is indicative of low inventory, interest rates, many buyers but fewer sellers. While prices continue to uptick or remain level, an increase in inventory and higher interest rates could change this landscape. If jobs and the economy continue to bounce back at the current rate or better, the home market going forward is expected to be driven by millennials.”

— AMY B. WYATT

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