Mid-state market still hot for homes listed below $307,000

Aug 27, 2018

NASHVILLE, Tenn. (OSBORNE)  --  Nashville’s home sales numbers remain strong even as the red-hot national housing market starts to show signs of cooling off.

The real-estate website Zillow.com recently noted a significant drop in home-sales asking prices across the country. Redfin’s Housing Demand Index reported a two percent drop nationwide between June and July.

Greater Nashville Realtor’s Association President Sher Powers says a somewhat slower market could be a positive development.

“I don’t think that’s a negative for our market to have a little bit of calming. Prices still have risen, and sales have slowed a little bit in a lot of areas, but not everywhere.”

Powers says mid-state property sales for July were down slightly from last year. But pending sales are up, days on market remains steady, and the number of homes for sale is up sharply. 

All of that in spite of the fact that the median sales price of a Nashville home jumped $19,000 in a single year. Music City’s median home price now stands at $307,000.

Sher Powers acknowledge some problems. She notes first time homebuyers are struggling to crack the market. She says area realtors are also concerned about gentrification. Rising prices, rents and taxes are forcing low-income residents out of the city.

“They’re being pushed out to make way for new construction or renovated properties being resold or rented at higher rates, and that is a concern because it’s our workforce.”

Powers says there are some great options now for first time homebuyers, but she isn’t seeing many viable solutions on the horizon for gentrification.