Wondering whether or not you should invest in Nashville real estate? How about something more specific- an Airbnb investment property? Today we’re talking about Airbnb Nashville 2018.
Yes. If you want to grow your real estate investing career, and build a great real estate investment portfolio, we strongly recommend investing in Airbnb Nashville this year. Owning an Airbnb has quickly proven to be a smart move in the real estate world. For those of you interested in the Nashville real estate market, you’re in luck. Nashville investment properties are out-performing many others. We’re talking both traditional and Airbnb investment properties. Real estate investors who are specifically looking into short term rentals should keep an eye out for Nashville real estate. Airbnb Nashville 2018 is hotter than ever, and you’re definitely going to want to take advantage of that fact.
Related: Airbnb Rental Vacation Homes: A Good Strategy to Make Money in Real Estate?
Nashville Real Estate Market 2018
What makes Nashville investment property so special? What does the Nashville real estate market have that others don’t? Well, there are many parts to that answer.
For starters, Nashville is the most populous city in Tennessee. Once called the hottest housing market in America by Zillow, it’s certainly a special region. The amount of tourist attraction in the city is mainly due to its association with music. The love of Country music drives the tourism and travel towards the city of Nashville, boosting its housing market. All the people going on vacation need a place to stay, making this a great opportunity for Airbnb investors owning vacation home rentals in the region.
Another important point to mention is the number of universities and colleges in Nashville. Education plays a huge role in the country and, being a city that offers several options for that, makes Nashville shine. Known as the “Athens of the South”, the amount of students Nashville holds definitely widens the supply pool of tenants in the area.
We’re not just all talk. With Mashvisor, our rental property calculator can quickly and easily provide the Nashville real estate market 2018 stats.
Nashville Real Estate Market Stats
- Median Property Price: $428,107
- Traditional Rental Income: $1,614
- Airbnb Rental Income: $2,288
- Average Traditional Cap Rate: 1.51%
- Average Airbnb Cap Rate: 3.33%
The data above is in regards to real estate investments on the city level. We’ve given you data on both traditional and Airbnb rentals to provide a better picture of the Nashville real estate market. But the point of this blog is to inform you about Airbnb Nashville. So let’s get into the details of Airbnb property investments in Nashville.
Best Neighborhoods in Nashville- Airbnb Nashville
Before making any kind of real estate investment, you’re going to need reliable data. Not just on your potential investment property, but also on other similar properties. You might know this to be a real estate market analysis. In order to conduct a real estate market analysis (which is very crucial in real estate investing), you’re going to need to compare data from other similar neighborhoods and locations to get a better understanding of your property’s value.
Before investing in Airbnb Nashville, take a look at the top-performing neighborhoods for Airbnb investments in Nashville. Make sure you’re buying Airbnb investment property in the best place to invest in real estate. Below is Mashvisor’s data on the best neighborhoods in Nashville for Airbnb investments. You’ll soon see why Airbnb Nashville is the best place to buy vacation home rentals.
#1. Germantown
- Median Property Price: $345,000
- Monthly Airbnb Rental Income: $6,013
- Airbnb Cap Rate: 12.01%
- Airbnb Cash on Cash Return: 12.01%
- Airbnb Occupancy Rate: 63.28%
Hitting number one as the best place to invest in Airbnb Nashville is the neighborhood of Germantown. This neighborhood has a good price-to-rent ratio meaning it’s a great idea to buy Airbnb investment property here. Buying property in this location means gaining high rental income in return. This is definitely a good sign for Airbnb investors.
#2. Melrose
- Median Property Price: $576,756
- Monthly Airbnb Rental Income: $6,783
- Airbnb Cap Rate: 8.03%
- Airbnb Cash on Cash Return: 8.03%
- Airbnb Occupancy Rate: 67.60%
#3. Historic Waverly Place
- Median Property Price: $572,477
- Monthly Airbnb Rental Income: $6,649
- Airbnb Cap Rate: 7.77%
- Airbnb Cash on Cash Return: 7.77%
- Airbnb Occupancy Rate: 67.87%
#4. Buena Vista
- Median Property Price: $340,640
- Monthly Airbnb Rental Income: $4,036
- Airbnb Cap Rate: 7.67%
- Airbnb Cash on Cash Return: 7.67%
- Airbnb Occupancy Rate: 63.62%
According to Mashvisor’s data, Buena Vista actually has the lowest median property price out of the other neighborhoods in Nashville. With an Airbnb cap rate of 7.67%, you can be confident about investing in Airbnb Nashville in this neighborhood.
#5. The Gulch
- Median Property Price: $610,872
- Monthly Airbnb Rental Income: $7,083
- Airbnb Cap Rate: 7.74%
- Airbnb Cash on Cash Return: 7.74%
- Airbnb Occupancy Rate: 64.02%
The Gulch has a higher median property price than some of the other neighborhoods mentioned, but it also has a higher monthly Airbnb rental income. You can absolutely find a great investment opportunity here with Airbnb Nashville.
#6. Edgehill Community Garden
- Median Property Price: $629,800
- Monthly Airbnb Rental Income: $6,078
- Airbnb Cap Rate: 6.21%
- Airbnb Cash on Cash Return: 6.21%
- Airbnb Occupancy Rate: 68.25%
Edgehill Community Garden has a slightly lower cap rate than the others, but it also has a higher occupancy rate. When it comes to Airbnb rental properties, occupancy is very important. At a rate of 68.25%, you’re guaranteed low vacancy and a steady flow of Airbnb guests.
#7. Acklen Avenue Alliance
- Median Property Price: $699,600
- Monthly Airbnb Rental Income: $6,555
- Airbnb Cap Rate: 6.17%
- Airbnb Cash on Cash Return: 6.17%
- Airbnb Occupancy Rate: 69.13%
The last on our list is Acklen Avenue Alliance. Still an amazing real estate investment opportunity. Don’t forget that this is the average data of all the real estate investment properties listed in each neighborhood, so you can find Airbnb properties with much higher cap rates and much lower prices.
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Final Words- Should You Invest in Airbnb Nashville 2018?
It will most definitely be a great real estate investment. Airbnb Nashville is the way to go with vacation and short term rentals. Don’t miss out on this opportunity, and start your search for investment properties now. To start looking for and analyzing the best investment properties in your city and neighborhood of choice, click here.