What's working for investors in or around Nashville, TN?

Question

I'm a few months into my real estate journey doing everything I can to educate myself. I'm located in Nashville, TN where you can't talk about real estate without hearing about how booming it is. In my last couple months of really looking at this market, "booming" to me seems to mean you can't buy the worst houses for less than 300k and then rent them out for barely $1500/month. But with that said, a lot of people are doing well in real estate in Nashville. Even though I have the capital, I'm having a hard time spotting what's viable here. What exactly is working in this market? Do I need to be looking in specific areas? Change my approach? I'm looking for rental properties (SFH's and MultiFamily). Any advice would be greatly appreciated! Thanks!

Jordan Hadley · Answer

Are you looking for more investment property such as a cosmetic fix and flip? That seems to be the most popular and profitable route to start, also teaches you a lot along the way. I work with many other investors like yourself new to the market, finding about 3-7 deals a week specific to the scale and price of project you're trying to get into. Let me know if you'd be interested in linking up!

Arlena Clausi · Answer

Hi Shalon, I’m in Nashville and would be happy to chat with you about the market.

Shalon Palmer · Answer

@Jake Stuttgen of course! Thanks again!

Tony Crabtree · Answer

@Shalon Palmer

Hey shalon! I live in Murfreesboro and help clients find rentable homes in the middle Tennessee area. Holler at me!!!

Dianne Hunziker · Answer

Hey Shalon. Dianne Hunziker with PARKS here. I'm a Realtor in Williamson County. My investing partner and I are also on the hunt for deals in the area.  I  currently own  two buy and hold rentals, one in Lenox Village and one in Hardison Hills in Franklin that I bought as new construction 12 years ago. That ship has sailed now as Williamson and Davidson Counties are really pricey. With that said we too would like to flip or BRRR. My investing partner has had some success with a wholesaler flipping in Madison. Unfortunately the property values dropped just as she was listing her last flip. Another area with possibilities is Columbia in Maury County. Rents for a three bedroom brick ranch are about 1,200/month so cash flow is possible. Don't know if BRRR is. Finally Rutherford County, which I don't know as well, might be worth exploring.  The struggle is real in this area.

Dianne Hunziker · Answer

Hey Shalon. Dianne Hunziker with PARKS here. I'm a Realtor in Williamson County. My investing partner and I are also on the hunt for deals in the area.  I  currently own  two buy and hold rentals, one in Lenox Village and one in Hardison Hills in Franklin that I bought as new construction 12 years ago. That ship has sailed now as Williamson and Davidson Counties are really pricey. With that said we too would like to flip or BRRR. My investing partner has had some success with a wholesaler flipping in Madison. Unfortunately the property values dropped just as she was listing her last flip. Another area with possibilities is Columbia in Maury County. Rents for a three bedroom brick ranch are about 1,200/month so cash flow is possible. Don't know if BRRR is. Finally Rutherford County, which I don't know as well, might be worth exploring. Give me a call if you'd like. The struggle is real in this area.

Shalon Palmer · Answer

Thanks @Kyle Deutschmann ! Unfortunately house hacking is out of the question for me since I run my business out of my house and it takes up the entire upstairs (3 bedrooms) of my house. I'd love a reference of an investor-friendly realer. Thanks! I'll pm you.

Kyle Deutschmann · Answer

@Shalon Palmer hey Shalon, have you considered house hacking? Thats how I got started buying in Nashville. Definitely not easy finding a great deal here, but with a little creativity you can make it work. Would be happy to chat sometime if youd like, or I can also refer you to an investor-friendly realtor if interested. Best of luck, Kyle

Shalon Palmer · Answer

@Luka Milicevic ah interesting! Thanks for the insight. Could you explain some of the marketing/deal finding strategies that work well?

Luka Milicevic · Answer

@Shalon Palmer

If you're looking for rentals my advice would be to look at the surrounding counties. Nashville proper isn't really a rental market at the moment. Like you said 300k house renting at 1500 max.

You can still find houses at or around the 1% rule in the area. The thing is you won't find them on the MLS. You would have to do your own marketing/deal finding.

What's working for investors in or around Nashville, TN?

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