A Rocky Ride in the Nashville Real Estate Market
Quarter 1 of 2023 is a scary time to be in the real estate market. Interest rates are higher than we’ve seen in recent history, buyers think it’s 2008 and sellers think it’s 2021. But!! For the first time in a long time, we have the closest thing to a neutral real estate market in Nashville, and that evens out the real estate market more for those who are entering for the first time or those with less money to spend.
In Quarter 4 of 2022, I was beside myself with worry on what would be next for our business. The market had changed at the start of the summer and we had a bad taste in our mouth from the sale of our latest flip (that you can also see information from on our website!), and I wasn’t sure that I wanted to continue renovating. The market was too volatile and when we complete a project, I want to be able to move on from it and not be saddled by a lagging market.
As of the date of this writing, the end of January, we are seeing fairly significant changes in the market. This includes: what properties are available, how long things are sitting (not nearly as long), what they’re selling for (at or even above list price), what allowances are being provided by the seller (rate buydowns, closing cost assistance), etc. Interest rates are higher than we’ve seen over the last several years, but are expected to come down around the start of Q2 of this year (according to Fannie Mae and Freddie Mac). The market is stabilizing and overall, things are looking pretty neutral. But that will be changing very, very soon.
What does this mean for our clients?
Many things, including but not limited to:
- People who have been priced out of beginning in the real estate market have a real shot at being successful and going under contract.
- People who may be ready to move on from their current space are waiting rather than entering the real estate market and paying the higher interest rates. This means that people want to renovate and make their spaces work harder for them.
- We anticipate that the spring will be a significant boom compared to what we’ve seen over the last year. There has been a lot of pent up need that people will decide can’t wait any longer and they’ll enter the market, along with a huge number of other buyers and sellers. We anticipate a feeding frenzy around Q2 and into the summer.
Get Your Space in Tip Top Shape to Sell
So, what does all this boil down to? It means that the competition will be picking up in just a few months and if you are looking to sell, you need to be ready! Your space needs to be in the best shape of its life if you want to get top dollar in order to move on or up to the next spot. That’s where we come in.
- Storage solutions
- Bathroom renovations
- Kitchen renovations
- Handyman punch lists
- Honey-do items that have been neglected
…We do it all. Let’s get you set up for the next big opportunity!
***This information is provided as a service to our clients and it is assumed that the real estate market is an ever-changing beast. These assumptions are assumed to be our own opinions and you should coordinate with your real estate professional for your specific situation.
