In the Greater Nashville Area, real estate selling prices hit all time highs in May at an average price for all residential homes, including condos, zero lot lines, and single family detached dwellings of $444,683. A short 5 years ago prices averaged only $284,557. That is a 56.2% increase, or 11.24% per year! Pretty amazing in light of the tepid 2.4% average per year increase from 2008 to 2013.
Much of the increase can be attributed to the sales of new construction homes which tend to sell for the most amounts and drive prices upward in the shortest period of time but the single largest factor is the total amount of inventory coming onto the market is still lagging far behind demand.
In January of 2010 there were 4,233 residential homes for sale, and in January 2020 there were only 2,997. That is about a 30% difference while the number of homes sold each year went up from 4,900 to 10,303 in that same decade.
The numbers translate to selling your home now equals you get a historically high price for it that 2020 buyers are willing to pay. If you would like an updated valuation for your home or land, give me a call today.