Nashville, TN Housing Market Days on Market Surges to 64 Days in late 2024
December 12, 2024
The Nashville Metro Housing Market has seen a drastic shift in 2024, with the average days on the market surging to 64 by the end of the year. Moreover, a 28.9% year-over-year (YoY) growth in sales inventory is rising from only 0.9% in November 2023. This shift marks the highest inventory level since pre-pandemic times and indicates a significant cooling in market activity. You can see the days of market trend over the years in the graph taken from the Reventure App:
The housing market of Nashville, TN experienced several ups and downs over the years. You can access the graph on the Reventure App. [Link]
As can be seen in the graph by the Reventure App, homes sold rapidly during the pandemic, favoring sellers. However, as of late 2024, Nashville’s DOM has risen to 64 days, indicating a cooling market. This provides buyers and investors more time to negotiate while requiring sellers to adjust expectations and pricing. The trend indicates a transition to a balanced market after years of intense competition.
Moreover, the Reventure App Home Price Forecast score currently rates Nashville at 39/100, which shows a strong downward price pressure in the local market. This also suggests that Nashville’s housing market is likely to experience continued adjustments in the coming months. It creates opportunities for buyers and challenges for sellers.
As per the Reventure app analysis Investor Forecast score of 59 indicates Nashville’s housing market is moderately favorable for investment. Strong long-term appreciation and demographic growth highlight future potential. However, lower cap rates and rent growth reflect weaker short-term returns.
Nashville County Days on Market
The days of market surged to 69 in Davidson County. Access the DOM map here. Link.
Within the Nashville metro area, Davidson County has seen a significant surge in days on the market, now reaching 69 days as of November 2024. This marks the highest increase compared to surrounding counties, including Williamson, Rutherford, Sumner, and Wilson. According to the Reventure App’s database, Davidson County, the central and most populous county in the metro area, also maintains the largest share of housing inventory. The inventory metrics for Davidson TN, show a significant increase compared to prior years, marking a recovery from tight market conditions.
Due to high demand and limited inventory, Davidson County’s days on the market were stable at 37-42 days before the pandemic but dropped to 25 days in 2021. By 2023, DOM had increased to 43 days. Moreover, in 2024, it surged to 69 days, rising mortgage rates, reflecting cooling buyer interest, and a transition to a balanced housing market.
The Reventure App’s Home Price Forecast score for Davidson County stands at 35, suggesting downward price pressure in the middle of elevated inventory levels. Other indicators, such as the Recent Appreciation score of 47 and a Price Cuts score of 50, highlight a cooling market. All the other metrics also signal a shift towards a more balanced housing market in Davidson County. The county has a higher inventory, offering buyers greater options while potentially moderating price increases seen in recent years.
What to Expect in the 2025 Housing Market
Nashville metro housing market is expected to continue its cooling trend. Access the data on the Revanture App here. Link
In 2025, Nashville’s real estate market will be poised for a dynamic year shaped by multiple factors. The above graph’s Home Price Forecast score of 39 suggests continued downward pressure on prices. It also reflects a cooling market as inventory levels rise. Moreover, an increase in home sales across the metro area, including hotspots like Franklin and Murfreesboro, is expected. This growth aligns with rising inventory trends, already nearing pre-pandemic levels, as indicated by a 53.6% surplus above the long-term average in 2024.
In Nashville’s housing market, homebuyers and investors can expect dynamic shifts in 2025. This has been a market with good long-term growth; however, now it is facing some headwinds and prices could decline in certain areas over the next year. Access the housing market data at a ZIP-code level in Nashville to see the trends for your neighborhood on the Reventure App.
