Market Report
Nashville, TN
Stabilizing Fundamentals and Rising Investor Appeal in One of the Nation’s Fastest-Growing Markets
Nashville’s multifamily sector is showing strong signs of stabilization and renewed investor opportunity. Net absorption has outpaced new deliveries, underscoring healthy demand despite a recent wave of development. While rent growth moderated slightly, concessions have helped maintain occupancy, and the slowing pace of new construction is setting the stage for stronger rental performance in the coming quarters. Private capital is stepping in as institutional buyers pause, creating a more favorable acquisition environment with cap rates rising and pricing adjusting downward.
Strategic development, resilient demand drivers, and a favorable operating cost environment make Nashville a standout among Sun Belt metros. With the market shifting back toward equilibrium, this may be an opportune moment for investors to gain long-term exposure in a high-growth city.
Key Highlights:
- 9,900 units absorbed, outpacing new deliveries.
- Occupancy at 88.7% and stabilizing.
- $1.4B in sales, led by private buyers.
- Cap rates above 5.5%, pricing reset to $230K/unit.
Download the full report to explore market data, rent trends, sales insights, and GREA’s expert analysis.