1212 Laurel St.

There are ample arguments on both sides for those arguing the condition of the Middle Tennessee real estate market.

Greater Nashville Realtors statistics show sales were down 15% in 2022 with most of the carnage coming in the last three quarters, when there were 39,831 compared to 47,172 the year before. Sales for December (2,568) fell 40% compared to December 2021 (4,305).

But, as the band Journey told us way back in 1981, “Don’t Stop Believing.”

Brad Copeland, the 2023 president of Greater Nashville Realtors, says “2023 will likely bring great opportunities for buyers with rising inventory and longer days on the market.”

The release notes inventory is at 8,204, which “indicates a 126% increase from the 3,624 active listings for the same period last year,” Copeland says.

What it does not state is that inventory dropped from 10,128 in October to 9,757 in November. This after climbing from 8,957 in July to 9,302 in August and 9,765 in September. Inventory is dropping. The area has its lowest inventory rate since June.

Interest rates also have dropped during the past three months and continue to fall, leading many houses to sell for more than list price. There are not as many buyers as there were last December – before rates rose – but there also is not as much inventory.

The 2,600 closings coupled with an inventory number of 8,204 computes to a three-month supply of inventory. The National Association of Realtors has stated that a six-month supply of inventory is a balanced number with neither buyer nor seller having the upper hand.

Anything less than six months would be considered a seller’s market.

Voila! Nashville’s current sales dictate that the city remains in a sellers’ market.

The area’s median sales prices in December jumped $437,362 to $470,000, compared to December 2021. The condominium market did even better, rising from $298,918 in 2021 to $352,000 in 2022.

All bets are off if Congress cannot fix the debt limit issue by June. Until then, party on sellers.

Sale of the Week

Condominiums are selling crisply these days, and sellers are raking in profits on their investments in a fashion equal to those selling single-family homes. For example, the development at 1212 Laurel Street, known as 1212, enjoyed a sale last week at $1.25 million.

Selling at $896 per square foot, the 1,395-square-foot unit on the 18th floor has three bedrooms and two full bathrooms. The third bedroom is a bonus for the high-rise condos. Of the 31 closings in 1212 last year, only one other sale boasted three bedrooms.

For those unfamiliar with 1212, listing agent Scott Lynch offers this description: “Imagine having your morning coffee from your balcony looking out at Union Station, the Batman Building and all that downtown Nashville has to offer.”

Lynch mentioned this unit has a panoramic view of the Gulch – easy to spot through the floor-to-ceiling windows – two covered parking spaces and a storage unit.

He was wise to mention the 1212 amenities, as few share that information with the public. He explained that the 1212 amenities package allows for two guest suites, a saltwater pool, hot tub, green roof, indoor dog run, a fitness center and two owner lounges.

It is understandable that Lynch would be able to communicate the message as well as he has since he is the author of two books, one on Alabama football and another for lovers of University of Florida pigskin lore.

In addition, Lynch writes songs in his spare time and has had his songs recorded by Travis Tritt, Trace Adkins and Toby Keith.

One of his Christmas presents last year was having Kid Rock cut one of his Christmas songs.

Speaking of writers, Allen Huggins, nephew of the late renowned Nashville Banner sportswriter Edgar Allen, represented the buyer, along with Scott Knabe. Huggins founded his real estate firm, WH Properties, and has been among the most productive agents in Nashville for years.

Knabe, of Compass RE, has his own music connections, having managed the career of legendary recording artist John Hiatt for 13 years when he was with Vector.

While at Vector, Knabe worked with founder Ken Levitan, who he cites as his mentor. The knowledge and insight he gleaned from Levitan has served Knabe well in real estate, where he has prospered.

Richard Courtney is a licensed real estate broker with Fridrich and Clark Realty, LLC and can be reached at [email protected].