Appreciation Investing in Nashville, TN

Appreciation Score: 5.2/10Ranked #20 of 52 markets

Data-driven appreciation analysis for Nashville, TN — score breakdown, key investment metrics, and how it compares to other markets.

Last updated: May 2026

Score Breakdown

Appreciation Score:5.2
Population Growth(40%)
+10.0%7.0
Median Household Income(25%)
$75,6645.1
Low Vacancy(20%)
8.8%4.0
Metro Size (Demand)(15%)
709,8462.1

Key Metrics for Appreciation

Pop. Growth

+10.0%

Exceptional

Median Income

$75,664

Household income

Vacancy Rate

8.8%

Moderate supply

Population

710K

Metro demand indicator

Appreciation Investment Thesis

Nashville has shifted from a cash flow market to an appreciation play. No state income tax, vibrant culture, and corporate relocations (Oracle, Amazon, AllianceBernstein) continue to drive population and price growth. East Nashville and the Gulch lead appreciation.

How Nashville Compares

RankCityAppreciation ScoreCap RateMedian Price
#17Columbus, OH5.46.8%$240,000
#18Minneapolis, MN5.46.1%$295,000
#19San Antonio, TX5.26.5%$250,000
#20Nashville, TN5.25.2%$400,000
#21Los Angeles, CA5.13.2%$900,000
#22Orlando, FL5.05.3%$355,000
#23Jacksonville, FL4.96.4%$285,000

Showing markets ranked near Nashville for this strategy.

Quick Math: Estimated Annual Return

Annual Gross Rent ($1,800/mo)$21,600
Less: Vacancy (8.8%)-$1,901
Less: Property Tax (0.66%)-$2,640
Less: Insurance (~0.5%)-$2,000
Less: Maintenance (~1.5%)-$6,000
Estimated NOI$9,059
Implied Cap Rate2.3%

Based on median market data. Your actual returns will vary based on specific property, financing, and management costs. Always run your own analysis before investing.

Frequently Asked Questions

What is the appreciation score for Nashville, TN?

Nashville, TN scores 5.2 out of 10 on our appreciation score, ranking #20 out of 52 markets we track. Weighted composite: population growth (40%), median household income (25%), low vacancy (20%), metro size/demand (15%). Scale 0–10.

Is Nashville a good city for appreciation investing?

Nashville, TN ranks #20 for appreciation investing — a solid mid-tier market with a score of 5.2/10. The median home price is $400,000 with a 5.2% average cap rate.

What is the average cap rate in Nashville?

The average cap rate in Nashville, TN is 5.2%. The median home price is $400,000 with a median monthly rent of $1,800, resulting in a rent-to-price ratio of 0.45%.

What are the property taxes in Nashville?

The effective property tax rate in Nashville, TN is 0.66%. On a $400,000 property, that translates to approximately $2,640 per year in property taxes.

How does Nashville compare to other appreciation markets?

Among our 52 tracked markets, Nashville, TN ranks #20 for appreciation investing. It falls in the middle of the pack for this strategy.

What is driving population growth in Nashville?

Nashville, TN has a 5-year population growth rate of +10.0% and a median household income of $75,664. Strong job growth and migration trends are fueling above-average population increases, which typically correlates with sustained home price appreciation.

Run Your Own Numbers for Nashville

Use our free calculators pre-filled with Nashville, TN market data, or adjust the numbers for your specific deal.