Nashville

TNNashville-Davidson–Murfreesboro–Franklin, TN

Real Estate Market Analysis

Q3 2025 Report
$535,277 (June 2025)
Median Home Price
~700,000 (city); ~2 million (metro area)
Population
~$74,000 (metro, 2024 estimate)
Median Income
Metro Nashville Public Schools: Mixed ratings, with some highly rated magnet and charter schools
School District Rating

Market Overview

Property Values

$535,277 (June 2025)
Median Home Price
$308 (June 2025)
Price per Sq Ft
+1.3% YoY (June 2025)
YoY Change

Market Performance

Days on Market~75 days (statewide, Jan 2025)[2]
Market TypeTransitioning from strong seller's to more balanced; increased inventory, moderate price growth, more negotiation leverage for buyers[1][2][4]
Months of SupplyData not explicitly stated; inventory up 7% MoM and 29% YoY, indicating rising supply but not yet a buyer's market[1][4]

Sales Activity

Sales Volume4,723 homes for sale in June 2025 (+7% MoM)[4]
Metro AreaNashville-Davidson–Murfreesboro–Franklin, TN
Population~700,000 (city); ~2 million (metro area)

Economic Indicators

Employment & Growth

Unemployment Rate~3.1% (Nashville MSA, early 2025, estimated)
Job Growth Rate~2.5% YoY (metro, 2025, estimated)
Median Household Income~$74,000 (metro, 2024 estimate)

Major Employers

  • Vanderbilt University & Medical Center
  • HCA Healthcare
  • Nissan North America
  • Amazon
  • Bridgestone Americas
  • Asurion

Demographics

~700,000 (city); ~2 million (metro area)
Population
34.2 years (metro, 2024 estimate)
Median Age
+1.5% YoY (metro, 2024-2025, estimated)
Population Growth
~37% bachelor's degree or higher (metro)
Education Level

Family Composition

Mix of young professionals, families, and retirees; strong in-migration of working-age adults

Key Industries

HealthcareMusic & EntertainmentAutomotiveTechnologyTourismLogistics

Education

School District

Metro Nashville Public Schools: Mixed ratings, with some highly rated magnet and charter schools
District Rating

Top Schools

  • Hume-Fogg Academic Magnet
  • Martin Luther King Jr. Magnet
  • Julia Green Elementary

Higher Education

  • Vanderbilt University
  • Belmont University
  • Tennessee State University
  • Lipscomb University

Infrastructure & Development

Major Projects

  • Oracle River North campus (multi-billion dollar tech campus)
  • East Bank riverfront redevelopment
  • Expansion of Nashville International Airport (BNA)

Transportation

  • WeGo Transit bus rapid transit expansions
  • I-24 Smart Corridor project

Planned Developments

  • Mixed-use projects in Midtown, Wedgewood-Houston, and East Nashville

Lifestyle & Amenities

Recreation

  • Centennial Park
  • Percy Warner Park
  • Cumberland River Greenway

Dining & Entertainment

  • Broadway honky-tonks
  • The Gulch restaurants
  • 12 South dining district

Cultural Attractions

  • Country Music Hall of Fame
  • Ryman Auditorium
  • Frist Art Museum

Investment Analysis

Investment Opportunities

  • Rising rental demand due to population/job growth[2][3]
  • More inventory offers better entry points for buyers[1][4]
  • Slower new construction pipeline may support future rent/appreciation[3]

Growth Outlook

Moderate price/rent growth expected; long-term fundamentals strong due to in-migration and economic diversity[1][2][3]

Market Risks

  • Rising interest rates impacting affordability[2]
  • Potential for short-term price corrections as inventory rises[1][4]
  • Softening in luxury segment with higher price reductions[1]

Rental Market

Average rent up 2.9% YoY (Q1 2025); strong demand, especially for well-located multifamily[2][3]

Marketing Intelligence

Target Demographics

  • Millennial and Gen Z professionals
  • Relocating families
  • Investors seeking rental income

Marketing Channels

  • Social media (Instagram, Facebook)
  • Zillow/Realtor.com/Redfin
  • Local relocation networks

Pricing Strategies

List slightly below recent comps to drive interest and leverage multiple offers; be prepared for negotiation[1]

Common Objections & Response Strategies

Objection: Interest rates are too high to buy now

Response Strategy:

Highlight increased inventory and negotiation power; suggest adjustable-rate or buydown mortgage options

Objection: Worried about overpaying if prices drop

Response Strategy:

Show data on moderate price growth and long-term fundamentals; emphasize value of buying for personal needs

Objection: Not enough homes that fit my criteria

Response Strategy:

Expand search radius, consider homes needing minor updates, or explore new construction options

Professional Recommendations

1

Educate buyers on increased inventory and negotiation opportunities

2

Advise sellers to price competitively and invest in staging

3

Highlight Nashville's long-term fundamentals to investors

4

Leverage digital marketing and relocation networks

5

Monitor new supply and interest rate trends closely

Competitive Analysis

Comparable Markets

  • Austin, TX
  • Charlotte, NC
  • Atlanta, GA

Market Positioning

Nashville remains a top-tier Southeastern market, with moderate price growth and strong rental fundamentals

Competitive Advantages

  • Strong job growth and economic diversity
  • Cultural cachet and national profile
  • Robust in-migration

Price Comparison

Median home price higher than Atlanta, lower than Austin; rents competitive with other fast-growing Sun Belt metros

Investment Metrics

4.5%–5.5% (multifamily, 2025 estimate)
Cap Rates
~5% gross yield (metro average)
Rental Yields
~18–20 (metro average, 2025)
Price-to-Rent
Positive for well-located properties, especially as new supply slows[3]
Cash Flow
2–4% annual price appreciation expected through 2026[1][2][3]
Appreciation

Buyer Journey Insights

First-Time Buyers

More options and negotiating power, but must budget for higher rates and longer search times

Move-Up Buyers

Can leverage equity but may face limited inventory in higher price brackets

Downsizers

Opportunities in new condos/townhomes, especially near urban amenities

Investors

Attractive rental yields and long-term growth, but must be selective on location and property type

Relocators

Strong job market and lifestyle amenities continue to attract out-of-state buyers

This city analysis was generated using comprehensive market data and AI intelligence.

Market conditions change rapidly - consult with local real estate professionals for the most current information.

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