Nashville is GROWING by leaps and bounds.
It seems that most every day, I see another news blip about our fair city ranking in the “TOP 10” of BEST Cities for Jobs, relocation, Restaurants, etc.
For sure, these are exciting times for Middle Tennessee.
The housing market is moving along, but not without challenges. We are experiencing some fairly significant “Growing Pains” in part due to the simple fact that there are fewer houses available for sale than the Buyers are demanding . . . thereby giving rise to home builders getting more and more more “creative” with their efforts to build more houses.
“In-fill” construction is the prevalent product . . . Builders are buying single family houses/lots with the intent to build the MOST number of structures on the lot allowable by Metro Zoning. This is rapidly increasing “Density” . . . Which also results in more traffic and a more urban feel.
Not all neighbors are happy about these “mini-developments” and are planting “Build Like you Live Here” signs in protest.
The city council has a tough job of sorting through all of this and are finding themselves SQUEEZED by the Builders who want looser restrictions and many neighbors who want tighter restrictions.
On the financial side of things, the higher density is coming up ROSES for the Metro government.
One example . . . an investor who owns 2 adjacent duplexes decides to sell them. He currently pays @ $3,000/year Property taxes. A developer buys both duplexes for a total of @ $400,000 and then builds 2 $550,000 houses on each lot and sells them (total value is now $2,200,000 . . . and the tax revenue for Davidson County comes to something in the neighborhood of $27,000/year – a nice little $24,000 bump for the county.
This is difficult to ignore . . . Multiply this scenario by the number of new in-fill developments, and numbers are mind-boggling.
All of this is cool . . . but also a bit “Wild Westish” . . . How much longer . . . and how far will it go?
Other questions are surfacing about the dangers of the apparent “Hyper-Increase” of pricing of these new homes . . . Per square foot, they’ve out-paced the increases of resale homes thereby creating 2 distinct markets in many areas.
At best, all of this is very confusing to home owners who may be considering making a move.
The most elusive question is: “What’s MY home worth in this market?”
Followed quickly by: “If I do sell my current house, where will I live next?”
We REALTORS are poised and ready to help you sort through all of it and help you make informed decisions. We do this every day and immerse ourselves in the market so as to keep up with the Raplexity (Rapid and Complex).
Don’t rely on ANYTHING you find on the internet with respect to VALUE of your house (or ANY house) . . . “Zestimates” are random and are based on incomplete and very raw data.
Call your REALTOR FIRST and have a frank discussion about your goals and then take it from there.
We at Pareto Realty, LLC stand poised and ready to consult with you . . . Just connect with me.