Nashville, TN Housing Market
AI-powered market intelligence for the Nashville-Davidson--Murfreesboro--Franklin, TN metro area.
PropertyIQ Scores
Nashville, TN Market Analysis
Market Overview
Nashville’s PropertyIQ Score of 23 out of 100 places the market in weak territory. The score is most influenced by home value momentum of 1.11% over the past 12 months and -0.99% over the past 3 months, as well as a median days on market of 60 days and a 22.0% share of listings with a price cut. These drivers indicate that price growth has stalled and selling conditions have become less favorable for sellers. The median home value is $452,186, and the year-over-year change in home value was $0, reinforcing a flat annual price picture.
Compared with Tennessee state averages, Nashville is a higher-cost market. Its median home value of $452,186 is well above the state average of $334,108, and its rent index of $1,813 is well above the state average of $1,189. At the same time, Nashville’s median household income of $85,447 exceeds the state average of $69,595, and its unemployment rate of 3.1% is lower than the state average of 3.4%. These local fundamentals are relatively solid, but they have not generated meaningful price momentum. The low PropertyIQ Score reflects that weak price movement and softer sales conditions are outweighing those strengths.
Key Trends
The first trend is weakening home value momentum. The 12-month home value momentum was 1.11%, while the 3-month figure was -0.99% and the reported year-over-year change in median home value was $0. Taken together, these data points point to essentially flat annual price movement with a recent pullback. That combination is a major reason for the PropertyIQ Score of 23.
A second trend is loosening sales conditions. The median days on market was 60 days, and 22.0% of listings had a price cut. Homes for sale totaled 12,197. The data does not include a state or historical benchmark for these figures, but they are listed as top score drivers, meaning they are creating measurable headwinds. Together, they point to a market where buyers have more inventory to choose from and sellers are adjusting prices to attract offers.
A third trend is an affordability gap relative to the state. Nashville’s median home value of $452,186 is about 35% above the state average of $334,108, while median household income of $85,447 is about 23% above the state average of $69,595. That means home prices have risen faster than the local income advantage. The rent index of $1,813 is also about 53% above the state average of $1,189, showing that housing costs in Nashville remain elevated even as price momentum has weakened.
Who Is This Market For
This market is likely best suited for patient buyers and long-term rental investors rather than short-term flippers or sellers looking for quick price gains. With a median days on market of 60 and 22.0% of listings with a price cut, buyers may have more room to negotiate, but the median home value of $452,186 and median household income of $85,447 still create affordability challenges for some first-time buyers. The income level is higher than the state average, which helps, but the home value gap is wider than the income gap.
Investors may be drawn to the rent index of $1,813, which is well above the state average of $1,189, suggesting stronger rental income potential. However, the weak PropertyIQ Score of 23 and the negative 3-month home value momentum of -0.99% mean this is not a market showing clear appreciation momentum. Long-term buy-and-hold investors who prioritize rental income over short-term price growth may find it more workable than investors seeking quick equity gains.
Move-up buyers with existing equity and stable employment may also participate, especially given the low unemployment rate of 3.1%. However, they should be prepared for a slower sale of their current home, given the 60-day median time on market. Because population growth data is not available, it is difficult to assess how much new demographic demand may support future absorption of the 12,197 homes for sale.
Outlook
The near-term data points to a soft or flat market. The 3-month home value momentum of -0.99%, the year-over-year home value change of $0, the 60-day median days on market, and the 22.0% share of listings with price cuts all suggest limited upward price pressure. The 12-month momentum of 1.11% and low unemployment rate of 3.1% provide some underlying support, but the overall PropertyIQ Score of 23 does not indicate a strong rebound in the immediate future. With 12,197 homes for sale and no population growth data available, the outlook is more consistent with a buyer-friendly market and flat-to-soft pricing than with rapid appreciation. Any change would likely depend on shifts in inventory, price momentum, or demand that are not yet visible in the provided data.
AI-generated analysis based on current market data. Last updated September 30, 2026.
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Nashville, TN market data
Nashville, TN Housing Market Overview
Nashville, TN's median home value is $452K, up 1.1% over the past year. Homes here sell in a median 60 days. Its PropertyIQ Score of 23 sits below the state average of 50, marking a market positioned to lag its state over the next three years.
Understanding the Nashville, TN housing market requires looking beyond headline price figures. The PropertyIQ Score reads both sides of market strength: Zillow price momentum across 3- and 12-month windows, and Realtor.com flow signals — days on market and the share of listings with price cuts. Together they predict how this TN metro is set to perform relative to the rest of its state.
Southeastern markets benefit from manufacturing investment, logistics infrastructure, and relative affordability compared to national averages. The region's population growth — driven by both domestic migration and natural increase — supports sustained housing demand across metro and suburban areas. Within the Southeast, Nashville, TN's PropertyIQ Score of 23 runs below the Southeast norm.
Tennessee's no-income-tax status and central location have fueled Nashville's rise as a corporate relocation destination, while Memphis and Knoxville offer more affordable alternatives with their own economic drivers.
Each month, PropertyIQ updates its score for Nashville, TN using four inputs: Zillow ZHVI twelve-month and three-month momentum, Realtor.com median days on market, and the Realtor.com share of listings with price cuts. These four signals are combined into a single 1 to 99 score computed across all metro markets and calibrated so 50 represents the state average, making it a direct read of how this market is positioned to perform relative to its state. Momentum here has been positive, with home values up 1.1% over the past year.
View Nashville, TN's complete market profile including historical price trends, score history, and AI-generated analysis. Compare this market against any other US metro to find the best opportunities for your investment strategy.
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Market data through August 2026. Sourced from Zillow, Realtor.com, Redfin, U.S. Census Bureau, FRED, BLS, and BEA. Per-statistic source and date shown above.
Frequently Asked Questions
Is Nashville, TN a good place to buy real estate in 2026?
PropertyIQ doesn't label markets simply good or bad. Instead, the PropertyIQ Score measures a market's demand momentum against its own state, where 50 marks the state average. Nashville, TN currently scores 23, a weak-momentum reading that leaves it positioned to lag its state over the next three years. For buyers, cooling demand usually brings more inventory, longer sale times, and real leverage to negotiate on price. Backing that up, the median home value here is $452K, up 1.1% over the past year. So whether Nashville, TN is right for you comes down to your goals: a rising-momentum market can favor long-term appreciation but offers less room to negotiate, while a cooling one hands buyers more leverage. Treat the score as a timing signal to weigh alongside your budget, holding period, and plans for the property, not a verdict on the market's quality.
What is the PropertyIQ Score for Nashville, TN?
Nashville, TN's PropertyIQ Score is 23, indicating weak momentum on a 1-to-99 scale. The score distills four transparent inputs into a single number: Zillow home-value momentum over the past 12 months, Zillow home-value momentum over the past 3 months, the median days homes spend on the market from Realtor.com, and the share of listings with a price cut, also from Realtor.com. Rising values and faster sales push the score up, while slow sales and frequent price cuts pull it down. The scale is calibrated so 50 equals the state average, meaning a score above 50 predicts the market will outperform its state over the next three years and a score below 50 predicts underperformance. PropertyIQ computes the score across every US market nationally, then recenters it against each state, so 23 places Nashville, TN below its state benchmark.
Are home prices in Nashville, TN rising or falling?
Home prices in Nashville, TN are rising. Over the past year, the median home value increased 1.1%, reaching $452K. Over the latest three months, values slipped 1.0%, a sign near-term demand is softening. PropertyIQ derives these figures from Zillow's home-value index, which tracks the typical value across the market rather than only the homes that happened to sell, giving a steadier read than a raw median sale price. Both the 12-month and 3-month momentum readings feed directly into the PropertyIQ Score, so this price trend is one of the core signals behind Nashville, TN's current score. Keep in mind that appreciation can vary widely by neighborhood and price tier across the metro area, so treat these figures as the market-wide baseline rather than a guarantee for any single property.
How quickly do homes sell in Nashville, TN?
In Nashville, TN, homes sell in a median of 60 days from listing to pending sale, based on Realtor.com market data. Median days on market is one of the clearest real-time reads on local demand: when homes move quickly, buyers are competing and sellers hold the advantage, while lengthening timelines signal cooling interest and more room to negotiate. Alongside sale speed, about 22% of active listings here have taken at least one price cut — a complementary demand gauge, since a rising share of reductions often precedes slower sales and softer prices. Both median days on market and the price-cut share feed directly into the PropertyIQ Score, where faster sales and fewer cuts push the score higher. As a general guide, medians under about 30 days indicate a brisk, competitive market, while medians well beyond 60 days point to buyers regaining leverage. Actual time on market still varies by price band, property type, and season, so treat the median as a market-wide baseline.
How current is this metro area data?
This Nashville, TN market data is refreshed on a monthly cycle, with the latest figures current through August 2026. PropertyIQ ingests fresh data every month from a range of authoritative sources: home values and rents from Zillow, days on market and price-cut activity from Realtor.com, additional housing signals from Redfin, demographic and housing-stock data from the U.S. Census Bureau, mortgage and macroeconomic series from FRED, and employment figures from the Bureau of Labor Statistics and the Bureau of Economic Analysis. The PropertyIQ Score itself is recomputed every month once the new source data lands, so the score and its four underlying inputs always reflect the most recent complete reporting period rather than a static snapshot. Because official housing data is typically released with a short lag, the current-through date usually trails the present by a few weeks, which is normal across the industry and not a sign the data is out of date.