This is what the last 3 recessions tell us about Nashville


This is how Nashville survived the last 3 recessionsIt’s hard to forget the Great Recession.  

I often refer to it as the Mortgage Crisis, because that was the impetus of our downfall and part of the delay in the rebound.  

The banks went from selling mortgages to everyone, to shutting down the supply of financing overnight. Since the housing market is 20% of our Nation’s GDP, it was a huge hit to the economy.  

Here’s what happened in Nashville.  

From the peak in 2007 to the trough in 2009, the median sales price decreased from $184,000 to a low of $165,995, or a 9.8% drop in median price.   

Over that same time period, the number of home sales dropped in half, mostly due to limited lending.  It was like watching a train wreck in slow motion, it took two years to hit bottom and then four more years to fully recover in price.

The truth is we were very fortunate that Nashville’s vibrant economy kept us in a much better position than the rest of the country which averaged a 33% drop in value.   

Some places have never fully recovered.  

Most economists do not expect anything like the last recession because one-fifth of our economy isn’t backed by junk mortgages and credit default swaps.

They expect it to be more similar to the traditional recession.

In 2000-2001, we had the dot-com bubble burst along with 9/11.  During that recession, home sales in Nashville increased from 24,811 to 26,556, or about 7%.  And median home prices over the same time period increased by 2%.  

That one sounds more like a bump in the road than a crisis.  

In 1990, we experienced a recession due to the rising price of oil, Operation Desert Storm, and a weak Fed policy.  

Information on Nashville median home prices is not available for this time period. However, I was able to check home sales which increased 4% during the 1990 recession.  I would expect that the effect on prices would have been similar.  

I’m saying all this as a cautionary tale for those who are waiting on the next recession to jump in.  

I understand what you are feeling, but the numbers don’t add up. It’s possible that Nashville escapes the brunt of the next recession too.  And that our prices continue to improve.

With rates near all-time lows again, there might not be a better time to buy than now.  

Whether you agree with me or not, send a message and let me know your thoughts on Nashville. 

To get a pdf version of this report: http://bit.ly/NashTN3

3939 Properties
Page 1 of 329
$287,000
Subdivision: West Prop
2
Beds
1
Baths
840
Sq.Ft.
1999
Year Built
1
Day on Site
2200417
MLS
Build a home on top of your very own plateau. Privacy, peace & quiet with nature & 360 views of the surrounding foothills. Live on the property in the existing manufactured home while you build....
$199,900
Subdivision: Hollow Hills Sub
3
Beds
2
Baths
1,146
Sq.Ft.
2016
Year Built
1
Day on Site
2198525
MLS
BEAUTIFUL LIKE NEW HOME! 3 BR 2 BA one level Home *Wide Plank Siding* Craftsman Style Trim & Interior Door Package*Concrete Driveway, Patio & Sidewalk* Beautiful Wood Flooring* Trey Ceiling in Master...
$329,900
Subdivision: Spence Creek Ph 25C
4
Beds
3F11/2
Baths
2,482
Sq.Ft.
2016
Year Built
1
Day on Site
2200419
MLS
Beautiful home in Spence Creek that shows like new. This 2016 build has an open floor plan with the Master bedroom on the main floor, dining room that could convert to a home office and another...
$325,000
Subdivision: Honey Brook
3
Beds
2
Baths
1,774
Sq.Ft.
1992
Year Built
1
Day on Site
2200422
MLS
Lovely one story home with three bedrooms, two baths and wonderful bonus room space over garage. Large great room with spacious dining room nearby.Fireplace with ventless gas logs located in light...
$344,998
Subdivision: Clover Glen
3
Beds
2F11/2
Baths
2,017
Sq.Ft.
2019
Year Built
1
Day on Site
2200423
MLS
LIKE NEW!!!! LOCATION, LOCATION, LOCATION! Not a fan of lawn maintenance? Look no further because 1005 Clover Glen Way is the one for you! Rest easy with this 1 year old Alley Style home. Come enjoy...
$245,000
Subdivision: Crosswinds
3
Beds
2F11/2
Baths
2,001
Sq.Ft.
2012
Year Built
1
Day on Site
2200425
MLS
Incredibly maintained home in a central location to I-24 and Ft.Campbell. Check out the 3 bedroom, 2.5 bath, and BONUS room home ready for a new buyer. Tons of countertop space, two spacious...
$425,000
Subdivision: Stonebridge
4
Beds
3F11/2
Baths
3,123
Sq.Ft.
2017
Year Built
1
Day on Site
2199484
MLS
4 Beds, 3.1 bath, 7 miles from Providence - Upgrades galore! See attached list. Entire home professionally painted with Benjamin Moore top of the line paint. Quartz Counters, white cabinets,...
$495,000
Subdivision: Battlefield
3
Beds
2
Baths
1,758
Sq.Ft.
1934
Year Built
1
Day on Site
2200427
MLS
Downtown Franklin Beauty! Great walkability...All sidewalks AND less than a mile to Five Points. Across the street from the new Enrichment Center and Library. Updated kitchen and bathrooms. All...
$289,900
Subdivision: Cloverhill
2
Beds
2
Baths
1,133
Sq.Ft.
1954
Year Built
1
Day on Site
2200429
MLS
Welcome home to 413 Cottonwood....A Lovely renovated ranch cottage in the heart of Donelson. This home has a HUGE fenced yard,Shaker Cabinets,Stainless Appliances,Deep well sink,Granite...
$334,900
Subdivision: River Downs
3
Beds
2
Baths
2,157
Sq.Ft.
2000
Year Built
1
Day on Site
2200430
MLS
Beautiful all brick home with everything down & bonus up. Lots of awesome renovations including a kitchen with custom finished cabinets, granite tops, backsplash & new stainless appliances. Gorgeous...
$404,900
Subdivision: Buckingham Place Sec 3
4
Beds
3
Baths
2,738
Sq.Ft.
2020
Year Built
1
Day on Site
2200431
MLS
Beautiful Allison floor plan by Surrey Homes. **Home in the process of being started - projected completion April 2021.** Buyer can still can pick selections. Situated on corner lot, this home will...
$409,999
Subdivision: Buckingham Place Sec 3
4
Beds
3F11/2
Baths
2,889
Sq.Ft.
2020
Year Built
1
Day on Site
2200433
MLS
Beautiful Vernon plan being built by Surrey Homes. **Home in process of getting started - projected completion April 2021.** Buyer can still make selections. Home features spacious covered front and...

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