2020 has been an interesting year – to say the least! The Nashville Real Estate market has continued to soar despite the current status of the economy. So with all the unexpected being expected at this point, what is to be expected in 2021?
According to Realtor.com, prices are expected to continue rising – but not as quick a rate as 2020. However, the low interest rates have still made home-buying very accessible. Sales of existing homes are expected to increase by 7% on a National level and Realtor.com says that’s due to “folks being stuck inside their homes for months on end seeking larger residences or ones with different features. Younger millennials are competing with older members of Generation Z for starter homes, and baby boomers are downsizing. Many apartment dwellers are also seeking homes on their own.” While sellers can still expect to collect top dollar, the for sale inventory will stay on the low side as many sellers are also buyers.
In 2020, we definitely learned that anything can come up and push our forecasts right out the window! If there are further economic recovery delays due to Covid, we could see a slow down in the market as fewer homes would be put on the market. People need to be able to afford to buy homes as well and if unemployment remains high and small businesses continue to lose revenue due to shutdowns, demand will plummet. Bottom line is if the economy is doing well, the housing market is doing well.