Real Deal Column

Last week, the Federal Reserve met, and Chair Jerome Powell set the stage for the central bank’s first rate cut in four years, citing greater progress toward lower inflation while keeping the key interest rate unchanged.

Tennessee is experiencing a significant demographic shift, marked by a rapid increase in its senior population. Between 2020 and 2023, the 65-and-up demographic in Nashville alone grew by 13%, outpacing all other age groups. This trend is not isolated to Nashville; it reflects a broader statewide pattern. There has been a noticeable increase in the proportion of seniors moving to Tennessee from other states. In 2021, 1.8% of the Volunteer state seniors had relocated from another state, up from 1.5% in 2019.

$32,756.23 billion—that’s the staggering total value of America's collective home equity, according to recent data from the Federal Reserve Bank of St. Louis. This figure marks a record high, having doubled since early 2017 and quadrupled since early 2012. For homeowners in Nashville and beyond, this growth highlights the immense value of owning a home and its role in building generational wealth.

As we move through 2024, the Greater Nashville real estate market witnessed a notable shift last month. Closings in June decreased by 13 percent compared to the same period last year. This decline in home closings across various categories underscores the potential opportunity – an almost forgotten market landscape where buyers have negotiating power.

Investing in housing is more than just buying a place to live—it's a cornerstone of the American economy. Each home sale generates two jobs, and the real estate sector alone makes up approximately 18% of the entire nations economy, according to data from the National Association of Realtors. This ripple effect of home sales extends beyond property lines, influencing numerous facets of American life.

When we talk about affordable housing, the conversation often centers around new construction. Building more homes is necessary to meet the high demand in our growing city. However, the solution to affordable housing extends beyond just new builds. It requires creative thinking and collaborative efforts between private and government entities to develop effective strategies.

The Bellevue Mall officially closed its doors in May 2008 and sat largely vacant for a decade, leaving many residents disheartened. The property had been not just a major hub of commerce but also a community gathering place.

The Summer season officially kicked off on Thursday, and here in Middle Tennessee, we’re certainly feeling the heat. Spring traditionally marks the peak of the housing market, and this year was no exception. The Spring months set a strong foundation for what lies ahead, with solid activity in terms of property listings and sales. Buyers and sellers were active and with almost half of 2024 in the rearview, the Greater Nashville region is poised to move into Summer with the confidence of stable market conditions.