Real Estate Radar: In Nashville, the Music Scene is Hot, but Real Estate is Hotter
If you’re looking for a big city with a small-town feel, a vibrant economy, and endless entertainment options, Nashville may be the place for you. The Tennessee city has topped many lists of growing cities and best places to live for years.
Nashville’s economy is ripe with jobs in well-paying sectors, as multiple Fortune 500 companies opt to expand or relocate there. Combine that with top universities, pro sports teams, award-winning restaurants, and never-ending nightlife, and the city’s steady influx of people makes sense.
“It’s always been a vibrant, business-driven town filled with really good people,” says Hart Weatherford, an executive vice president at Old National Bank, leading the bank's residential mortgage division in Nashville. “The word is definitely out about what a great city Nashville is.”
Nashville's real estate market reflects the city’s growth: Home prices have increased, and buyers often find themselves competing for properties. To navigate this competitive landscape, buyers need to understand local market trends and the financial options available to make their dream home a reality.
A rocking economy
Many people know Nashville as the country music capital. While the entertainment industry plays a significant role in the city’s economy, some additional major factors underpin the real estate market.
The city has a diverse range of growing industries, including healthcare, technology, manufacturing, and tourism. For example, Oracle announced plans to build a $1.2 billion campus in Nashville, Amazon is building an operations center there, and investment giant AllianceBerstein moved its headquarters to the city in 2021.
Nashville’s robust healthcare industry includes the Vanderbilt University Medical Center, one of the country’s top academic medical centers, and more than 900 healthcare companies. For music lovers, nearby Middle Tennessee State University has a robust music program. The Murfreesboro-based school draws musicians and music-business enthusiasts to the area and bolsters Nashville’s entertainment industry.
“Murfreesboro is about 30 miles from Nashville and the town of Franklin is about 20 miles away,” Weatherford says. “All these places are growing and coming together.”
The region’s vibrancy attracts newcomers, as does the fact that Tennessee doesn’t have a state income tax. The latter allows workers to keep more of their paychecks in their pockets. And even with rising prices, Tennessee is relatively more affordable than other metro areas around the country.
The real estate response
As expected, home prices have increased along with the city’s profile. The median price for a single-family home in Nashville has hovered just below $500,000 for the first few months of 2025. The good news for buyers is that inventory has increased by 22% in the region,1 meaning there are more homes to choose from, and buyers may have more room to negotiate.
All signs point toward more growth in Nashville’s real estate market this year, though many expect price increases to slow. The latter is due to interest rate and economic uncertainty. Weatherford notes that prices and competition still depend on the location and circumstances of the individual home.
“Affordability can be a challenge for people looking to stay within Nashville proper,” he says. “That’s why we’re seeing so much interest in areas outside of the city limits, along with the growth of nearby towns that offer relatively easy commutes.”
4 smart moves for Nashville buyers
Weatherford knows that buying in a competitive market can be daunting. But there are actions that home buyers can take to prepare themselves for success. Consider the following:
1. Get pre-qualified before you begin home shopping
“With the market's competitiveness, sellers won’t even look at an offer without it being pre-qualified,” Weatherford says. You can get started by finding a lender, who can empower you to define your price range and limit—and help make your offer more attractive.
Weatherford adds that pre-qualification from a bank like Old National can work in buyers’ favor. The bank has a reputation for always closing home sales on time, which makes a difference to sellers and real estate agents.
2. Explore the mortgage options available to you
Understanding the breadth of mortgage options you can access—and any benefits they provide—is critical in the home-buying process. Not only does this tell you what you can afford, but it also allows you to take advantage of perks that make purchases possible.
For instance, Weatherford says that Old National’s suite of mortgage products includes loans that provide down payment assistance for qualified buyers. There are also products aimed at professionals in specific industries, from attorneys to doctors. “You want to work with a trusted mortgage officer who is paying attention to you and the details of your life," he says. "That way, you can take full advantage of what the bank has to offer."
3. Research neighborhoods that fit your needs
Weatherford encourages home buyers to explore all the areas that fit with their needs, even if its outside of city limits. Nashville-proper is generally more expensive than some of the outlying areas, but each neighborhood and town has its own personality and benefits. Families might consider Sylvan Park, East Nashville, Hillsboro Village, and Green Hills within the Nashville city limits or look to popular areas like Franklin and Brentwood, which are outside of Nashville. For young professionals, the Gulch and Germantown inside the city offer walkability and access to fun nightlife.
4. Set yourself up to win
Creativity, local expertise, and the ability to move quickly ensure that you spot new properties in your desired areas as soon as they’re listed and come prepared to make a competitive offer. Of course, working with an experienced realtor familiar with the local market and trends is essential. “You want to make sure they’re well connected in the Nashville market,” Weatherford says. A local lender can also help accelerate the offer and closing process. And a little personalization can go a long way. For example, he notes that including a personal letter with your offer that provides details about yourself and your intentions for the home can also be helpful.
Finding a home in Nashville
Nashville has much to offer every kind of homebuyer, from young professionals to families to retirees. Lean on your team of Nashville realtors and lenders to improve your competitiveness and find your ideal home in this desirable market.
Interested in how Old National can help you purchase a home in Nashville? Connect with our mortgage team today.
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