Good morning everyone. We live in AZ and have some family in TN. We are looking at expanding our search for positive buy and hold properties. Our family there states that this is a "booming" area. I would like to get some feedback from anyone and everyone that is familiar with this market. Thanks for your time.
The area is definitely booming. Get in touch anytime and I would be glad to help.
Nashville is crazy right now and has been for the past year.
Last year I was purchasing a primary residence with a max budget of 200k. Put full price offers on multiple houses and got outbid by over asking offers and full price all cash offers.
My agent told me that he had clients with a 600k budget who were experiencing the exact same thing. Houses that come up for sale in decent neighborhoods, that are reasonably priced are selling the same day.
I purchased a townhome this year in Murfreesboro (hour from Nashville) and it's also relatively hot market.
It looks like everyone wants to live in Nashville!!!
Something else to keep in mind; a lot of the properties here have an HOA and I've noticed the fees tend to be pretty steep. Make sure to look into that.
I'm not an agent, but I can put you in contact with my agent who I've done multiple deals with. He is awesome.
Best of luck.
Thanks for the replies Seth and Luka!
Luka in your experience, how long has the market been this hot? Does the trend seem to continue to point up for a while or are we hitting up towards the peaks. How is the purchase to rent ratio where you are? Thanks for any help you send our way.
Anyone with any words of advice for us?
Steve - It would definitely be interesting to hear more investors' opinions of what the market is doing. I've been told that, historically speaking, nashville's real estate market dips every 7 - 14 years. The last one, of course, was 2008. However, I am of the opinion that the current boom is more sustainable as more people are moving to nashville than ever before! I've seen stats the 1000 people move here each week. Our inventory currently can't keep up, so prices are sky-rocketing. There will certainly be a lull in the next several years, but Nashville is becoming a more full metropolitan area. Atlanta had a boom and the prices of homes have overall maintained.
That all said, if you want to do traditional rentals, shoot for the edges of town. Even Donelson, Smyrna, Madison have more normal markets with decent returns. If you can afford it, buy something near downtown Nashville for $300k+ and list the place on airbnb! I've heard of people getting $10k+ in monthly gross rent from airbnb listings.
Hey Steve if you want to be added to my buyers list to start receiving my deals in Nashville please message me your email.
Thanks for the great advice Allan!
Thanks Micah, we will.
Sorry, I missed all these notifications for some reason.
I believe, in my humble opinion, that Nashville will continue to be a hot market for the foreseeable future. The skyline is currently filled with cranes building apartments/businesses/etc. The mayor is rolling out plans for Nashville's long term traffic plan because the infrastructure is struggling to keep up with the amount of people moving here.
I have read on multiple sources that the population of people moving to Nash will continue to increase over the next 10 years. Again, in my opinion, I think for the foreseeable future the market will remain hot, perhaps not AS hot.
What Alan Smith said about air bnb a property is genius. I know many people are doing so and have very little, if any, vacancies!
Out in Mboro I'm getting 1% rent/month on the value of a property. This all depends on the class of neighborhood and not the actual city itself. You can get 0.5%-1%, perhaps higher or lower just about anywhere. Again, depends more on neighborhood than the actual city.
Hey Steve! Nashville is hot and has been for a few years now. I have lived downtown Nashville since 2006 when there were only a few condo/apartment complexes worth living in. I own two condos in the loop with another one currently under contract. Two of these will be short term rentals as the other is my residence. Short term rentals do have some restrictions for residential areas that Metro has set in place. Most condominiums HOA's do not allow them....however several do. I have been a full-time real estate broker for 10+ years. If you have any questions feel free to let me know.
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