Rising Rent Prices in Nashville
As Nashville continues to grow so does the price it cost to live here.
Nashville is a lively city in Tennessee that attracts millions of tourists each year. Its live music, performances, celebrity association are making this city even more popular than ever. Nashville is becoming so popular, in fact, that more and more people are choosing to relocate here. Causing the population to rise more than ever before.
This surge in popularity is resulting in more and more people moving into Nashville. It is also causing another concern – rising rent prices. The rent prices in Nashville, are increasing exponentially, causing a bit of concern for those who live there and those looking to move here.
Rental prices in Nashville have seemed to surge up quite a bit, actually – rising an entire nine perfect when measured in April of 2016, compared with the rental prices a year previous, in April of 2015. So why the sudden rise in rent prices in Nashville, when the overall national rent prices have only increased about three percent in the same time frame?
One thought behind the reason the rent prices have increased so much is because of the higher amount of millennials who are moving into the city.
Since the population is growing, so is the demand for housing and apartments.
Real estate developers are responding to the apartment shortage with new construction. More than 5,500 rental units are expected to be added in Nashville in the next year, according to a report released in July by the real-estate-services firm Colliers International.
It is only natural to expect to see a spike in real estate prices and rent prices in Nashville – the higher of a demand for something, the more it is going to cost. In this case, we are talking about housing – the more people who are moving into the city, the higher the cost of homes and the price of rent is going to be.
In Nashville, some locals believe the population growth is also tied to the success of country music and publicity brought on by ABC TV’s show “Nashville.” Set and filmed in the city, the show follows two country-music stars played by Connie Britton and Hayden Panettiere.
“The TV show no doubt put us in the national spotlight,” said Jessica Averbuch, a local broker at Zeitlin & Co. “I think the music is a huge piece of it.”
Higher rent prices can make it difficult for those who are faced with minimum wage jobs or who have low incomes and have a difficult time affording to live here – including families. This could be the reason that many families are choosing to leave the city in search of something more affordable in the outskirts of Nashville. Locals complain that the rents are taking a bigger bite out of their paychecks. While apartment rents are up 18% since 2009, median household income in the Nashville metro area has grown by 5% to $53,671, according to Moody’s Analytics. More than half of renter households in the Nashville metro area are considered cost-burdened, meaning they pay more than 30% of their income to rent.
According to Zillow and Vanderbilt researchers, rent has gone up in Inglewood and East Nashville by 60 percent. In dollars, people are spending $500 more a month to rent a house in Belle Meade, $700 more in East Nashville, and $1,000 more in Green Hills.
While we all love to see the growth of our beautiful city it is just as important to keep Nashville, well, Nashville. What attracts people to begin with is the southern hospitality and small-town charm that you find here. It would be a shame to lose that.
Happy Moving Nashville
Your Master Movers family