Homeowners stay put for less time in Nashville
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If it feels like you're seeing more moving trucks in your neighborhood lately, you might be onto something. Nashville-area homeowners are staying put for shorter periods of time.
Why it matters: Relatively affordable metro areas and migration hotspots like Middle Tennessee are seeing homes change hands more often. The churn effect of migration can fuel local economies.
Zoom in: The typical Nashville homeowner has spent about 8-and-a-half years in their home, down from more than nine years a decade ago, according to a recent Redfin analysis of county records.
- Nationally, tenure sits at nearly 12 years.
Between the lines: The pandemic sparked a nationwide moving frenzy, Redfin notes. Homebuying hit a fever pitch in Nashville in that time frame. But the city's dip in homeowner tenure started earlier, around 2018, according to the data.
The intrigue: A Redfin analyst tells Axios the earlier decline is likely due to the influx of new development and home construction here, which pulls down tenure rates.
- Similar trends developed in other Southeastern cities that have seen population and construction booms.
Zoom out: Nashville was in line with other Sun Belt metro regions like Atlanta, Charlotte and Phoenix.
- Median homeowner tenure is longest in Los Angeles and shortest in Louisville, Kentucky, per the analysis.
Yes, but: As interest rates soared last year, homeowners nationwide began holding onto their homes much longer, analysts found.
- Many of those staying put are older adults aging in place. Most baby boomers who own houses are mortgage-free or have a low interest rate, according to Redfin.
Case in point: Sixty percent of Tennesseans secured a mortgage interest rate at or under 4%, according to a July 2023 Redfin study, creating a "golden handcuffs" scenario that can keep people in place.