Building Costs Per Square Foot in the City of Nashville (TN), USA

Residential Construction Market Analysis in the City of Nashville (TN), USA

Newly Built House in  Nashville 1502 Meridian Street
TN37207 – 4 Bedrooms and 4 Baths with 2
Attached Garages on Gross Floor Area 2,739
sqft – Built in 2022 – Price $899,900

Building costs are 2% above the national average in the City of Nashville in Tennessee. Are you thinking of buying a property in the southern United States? Do you want to know more about properties or the real estate market in general? If you feel identified with any of these questions, or if you simply want more information and you are a curious person, then you are in the right place.

Continue reading this article to learn more and get an insider on the Residential Construction Market Analysis in the City of Nashville (TN), USA. From the values ​​that are currently handled in the market to the type of properties that you can find and the projects that are coming, here you will have all the necessary information.

With all the data that we will provide here, it will be easier for you to know if Nashville is the city for you, or if you should continue your search in other articles that we have where we talk about other cities and their real estate markets. Remember that before making any type of purchase or investment it is always essential to be informed on the matter, this will help you avoid any type of monetary loss and save you a lot of headaches.

Nashville (TN) Construction Outlook

Among the cities of the South, Nashville is one of those that best knows how to combine being a city with having a small-town spirit. There’s a sense of familiarity and caring as soon as you set foot in Nashville, even when you’re walking among its tallest buildings.

The buildings are located exclusively in the commercial district of Nashville, in the suburbs, you will not find a building that tall. If there are a lot of townhouses, they are the real stars of Nashville without a doubt.

Condominiums are also booming recently, especially in areas near Nashville’s college neighborhoods. Of course, these are usually inhabited by students since families tend to avoid living near universities, so as not to have to be near the parties that usually occur.

In Nashville, you won’t find many luxury homes. Only on the outskirts of the city, or in the neighborhoods where famous country music singers live. Except for those cases, the constructions are usually modest brick and cement houses, and some are made with wooden planks.

Nashville (TN) Housing Market Analysis and Forecast

In the last year, there has been an average increase of more than 20% in property values ​​in Nashville, Tennessee. In some regions of the city, this increase exceeds 30%, so without a doubt, it is a city that is setting trends in the real estate market.

Many people choose a quiet but modern city like Nashville to live in, especially considering that it is a fairly central city when compared to others in the southern region of the country. For the same reason, experts affirm that property sales may increase by 10% from now to next year, and values ​​may increase between 10% and 15%. Of course, these values ​​can change according to the inflation that is happening in the country.

Maxwell Heights and Davidson County are two of the places most chosen by people who are choosing to move to the city. While they are in high demand, they are not the most expensive in Nashville. In the Nashville metropolitan area, you can find quite expensive properties.

On the other hand, Murfreesboro is another part that saw a greater increase in property values, although it is still not the most expensive area of ​​the city. Its increase in value ​​may be due to a gentrification process that is occurring in the area, although it is nothing compared to what is happening in the big cities of the country.

If you are looking to buy property in the southern United States, either to live in or to invest in, then Nashville is one of the best cities to do so. It has had a stable real estate market in recent years, including during the pandemic, so, rarely, something changes negatively.

Nashville (TN) Average House Price (Median Home Price)

In October 2022 the value of the median home is $445,000. This value is an estimate, as it can vary widely depending on where you are in Nashville, and depending on the condition of the property.

Nashville, especially in its suburbs, has a lot of old properties for sale, and these due to their deterioration are usually for $200,000 or less, so it is a good option to buy properties and remodel them.

It is relatively a cheap city if you compare it with others in the country, but it is more expensive than Memphis (also in Tennessee). This is because it is a safer city, with more modern neighborhoods and a better school district.

The average single-family price is currently $470,000. Condos/co-ops have an average value of $350,000, making them much more affordable by comparison. The townhouses have an average value of $380,000 although they are on a constant rise (38% compared to last year), so some increases can be expected.

Unlike other cities, winter doesn’t slow down the real estate market in Nashville. There is always a supply of properties listed ready to be purchased, so prices are not expected to drop during the winter months.

Proposed Residential Building Projects in Nashville (TN)

Nashville has a wide variety of residential projects shortly, making it a hotspot for investors and people looking to relocate. Whether you’re looking for apartments, tiny houses, or luxury homes, you can find it all in Nashville, and today many projects will soon be ready.

One of the highlights is a large building that is under construction in the center of the city. It will have 20 floors and will have residential apartments, as well as other studio apartments, designed for people who want to work there.

There are not many luxury homes under construction, although you can find some on the outskirts of Nashville. Keep in mind that the most luxurious neighborhoods in the southern United States are found in Texas or Florida, so it’s no surprise that you won’t find as many in Tennessee, although as with everything there are some exceptions.

There are several townhouse and condominium projects, perfect for people who want to start their life in Nashville or who are new to the southern lifestyle. They are cheaper properties and are mostly rented rather than listed, which can also be very favorable for students going to college in Tennessee.

Newly Built House in Nashville 3710 Woodlawn
Drive TN37215 – 6 Bedrooms and 8 Baths with
3 Attached Garages on Gross Floor Area 8,778
sqft – Built in 2022 – Price $4,850,000

Building Costs Per Square Foot for Single Family Homes in the City of Nashville (TN), USA

Building costs are 2% above the national average in the City of Nashville in Tennessee.

Class 1 – Luxury Single Family Homes

The building cost per square foot for luxury private homes in Nashville City ranges from $351.79 per sqft to $539.27 per sqft, with the average being $415.16 per sqft. As the bar chart shows below, bigger homes with a large gross floor area have the lowest building costs per ft2, and smaller homes with a small gross floor area have the highest building costs per ft2. Medium-sized homes are somewhere in between. Generally, the building cost per square foot decreases as the size of the house gets bigger, and increases as the house gets smaller.

Class 2 – Semi Luxury Single Family Homes

The building cost per square foot for semi-luxury private homes in Nashville City ranges from $213.80 per sqft to $327.73 per sqft, with the average being $252.31 per sqft. As the bar chart shows below, bigger homes with a large gross floor area have the lowest building costs per ft2, and smaller homes with a small gross floor area have the highest building costs per ft2. Medium-sized homes are somewhere in between. Generally, the building cost per square foot decreases as the size of the house gets bigger, and increases as the house gets smaller.

Class 3 – Best Standard Single Family Homes

The building cost per square foot for best-standard private homes in Nashville City ranges from $138.21 per sqft to $209.93 per sqft, with the average being $161.81 per sqft. As the bar chart shows below, bigger homes with a large gross floor area have the lowest building costs per ft2, and smaller homes with a small gross floor area have the highest building costs per ft2. Medium-sized homes are somewhere in between. Generally, the building cost per square foot decreases as the size of the house gets bigger, and increases as the house gets smaller.

Class 4 – Good Standard Single Family Homes

The building cost per square foot for good-standard private homes in Nashville City ranges from $100.87 per sqft to $154.68 per sqft, with the average being $119.04 per sqft. As the bar graph shows below, bigger homes with a large gross floor area have the lowest building costs per ft2, and smaller homes with a small gross floor area have the highest building costs per ft2. Medium-sized homes are somewhere in between. Generally, the building cost per square foot decreases as the size of the house gets bigger, and increases as the house gets smaller.

Class 5 – Average Standard Single Family Homes

The building cost per square foot for average-standard private homes in Nashville City ranges from $81.88 per sqft to $125.39 per sqft, with the average being $96.55 per sqft. As the bar graph shows below, bigger homes with a large gross floor area have the lowest building costs per ft2, and smaller homes with a small gross floor area have the highest building costs per ft2. Medium-sized homes are somewhere in between. Generally, the building cost per square foot decreases as the size of the house gets bigger, and increases as the house gets smaller.

Class 6 – Minimum Standard Single Family Homes

The building cost per square foot for minimum-standard private homes in Nashville City ranges from $64.58 per sqft to $98.98 per sqft, with the average being $76.18 per sqft. As the bar graph shows below, bigger homes with a large gross floor area have the lowest building costs per ft2, and smaller homes with a small gross floor area have the highest building costs per ft2. Medium-sized homes are somewhere in between. Generally, the building cost per square foot decreases as the size of the house gets bigger, and increases as the house gets smaller.