Home Buying in 37212>Question Details

Dilyse, Home Buyer in Nashville, TN

Considering purchasing a condo to rent out near Vandy. How strong is the rental market? Any suggestions?

Asked by Dilyse, Nashville, TN Sat Dec 20, 2008

Considering investing in a property that would have a strong potential to rent and be cash flow positive immediately with about 25% -35% down. Can furnish it and rent it as an executive rental if that makes sense. I live in California but love the idea of investing in Nashville. Like the Vanderbilt area. Would want a local prop manager to handle. Thanks!!

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Hello Dilyse,

I have several income producing properties available around the Nashville market. I also work closely with a company that manages over 300 rental properties and is very reliable and affordable. I work with Banks, hedge funds, and private investors and can help you navigate the best options in Nashville. Please contact me so I can start to work for you.

Best Regards,
Wendy Dyes - Realtor
Keller Williams
http://www.wendydyesrealty.com
615-758-8886
0 votes Thank Flag Link Tue Jul 30, 2013
I'd like to post an updated answer to this, dated summer 2013.

The rental market in this particular area (Midtown, Westend, Hillsboro Village, Belmont) is massive. Many homeowners in this area have even converted basements or attics with exterior entrances to rent them and capitalize on the high renting prices in the area.

Purchasing condos or townhomes in the area for rentals should be considered a sound investment.
0 votes Thank Flag Link Sun Jul 28, 2013
Dilyse,
As others have said, rental property is great for Nashville, however, if you can follow the link, this shows you all the rentals available at this time in the areas near Vanderbilt....including Belmont, Green Hills, West End, so you would need a good agent to show the best ones to consider in the area...that includes checking for more rental availability in the actual complex(some will only allow up to 20% rental)...Nashville was listed as one of the top ten places for singles and young professionals to live, but the purchase prices generally start at $200,000 for condos....and many are available in the new highrises...you might need to go carefully at this time...call for any help.....Laura




http://www.realtracs.net/Search/Rental/QuickSearch_RentalRes…
Web Reference: http://www.laura-scott.com
0 votes Thank Flag Link Fri Jan 2, 2009
Dilyse,
I have a great condo listed for sale/ lease purchase at The Enclave, a gated community near Vanderbilt.
My agency also has a property management division.

Sharon Wayman
Affiliate Broker
Crye-Leike, Realtors
click on "my featured listings" on my webpage
0 votes Thank Flag Link Wed Dec 24, 2008
Dilyse,
My question(s) to u r as follows:
1. Have you ever leased property before?
2. R u financing it? and if so...how much r u putting down?
3. Good professional management is hard to find and expensive. Dont forget to put numbers in there when u r figuring NOI (net operating income)..
4. Condos that are not finished selling out are risky to buy for investment in this enviornment...What if they go belly up? what if there are 400 units built, 200 owned and 200 empty....and the developer/bank goes belly up? Not pretty.
5.Buy an older unit and look at 3 years of operating statements
6. Call the past condo assn president and c whats up....the present president has too much to protect...the past has seen all the problems.
7. Hire a buyers broker that knows all that and more..............
Steve Condurelis, broker co-owner....
Keller Williams Realty
Nashville/Brentwood
0 votes Thank Flag Link Mon Dec 22, 2008
Hi Dilyse,
the rental market is alive and well in Nashville! We have a property managment company right in the Vanderbilt area that could handle your needs. The market in this area has ALWAYS been strong and will always be strong due to its proximity of course to severa universities and downtown. I'd suggest staying in the $100,000 - $300,000 range, depending upon what your cash availalbiity is in terms of a down payment.
We have clients from all over the US investing in Nashville. Our economy is still very strong, we're lucky in that we are diverse in that regard.

Let me know what other questions you might have.
0 votes Thank Flag Link Sun Dec 21, 2008
Great question. The rental market in Nashville is very strong. I own more than 20 properties in the Nashville area and it's a snap to rent them out. Several clients of mine do the same thing, and they will share the same stories of "great rental market" with you. In fact, I'd be glad to give you the names/emails of several of them privately to ask more questions.

If you're looking for "executive rentals," the immediate Vandy area, while strong, it's not the strongest executive rental area for Nashville. Vanderbilt's residential areas include Villa Place, Hillsboro Village, West End Park, Belmont, 12South and Waverly Place. Many of the owner occupants are young professionals or neighborhood natives. The rental properties in this area typically attract students from Vanderbilt and neighboring Belmont University. You may also see some residual overflow from Aquinas College and Tennessee State University. If you're looking for student tennants, this is definitely your area for investment.

Popular condos that cash-flow easily at your percentage in those neighborhoods include The Villager, BeechTree, Village South, The Albemarle and University Square. You'll find prices in the low $100s. If you ar wanting to command a higher dollar, you'll find The Glen, The Park at Melrose, Acklen Row and a host of condos in West End Park that attract a higher rental dollar, however, their price tags are higher, also.

If you are looking for executive rentals, that opens up another entire box. Executive rentals in Nashville can definitely command a good dollar and are most sought after (according to most of the investors I work with) in Green Hills, Cherokee Park, Brookside, Brookemeade, West Meade, Crieve Hall and Oak Hill. If the executive rental is to be your route, we'll all be happy to weigh in on it for you.

There are tons of property management companies in Nashville. Some are good and some are...uh well...they should really pursue other occupations.

You are right to look in Nashville right now. As one of my Washington State investors says, "Buying in Nashville is like having a legal money printing press!"
0 votes Thank Flag Link Sat Dec 20, 2008
Dilyse, Before deciding to commit to buying a place to rent out, you need to become familiar with the market area. You might want to check here...http://www.zilpy.com/ to get an idea of actual rents in that area and you can use this to do a second comparision...http://www.rentometer.com/
Also finding a proven investor (that is someone who actually is making a profit or covering costs during this market senario) to get advice on what to look for. Then find an agent if you need to by using your knowledge to determine they are honest and will represent your interests and not the sellers..

I wish you good luck, Dunes
0 votes Thank Flag Link Sat Dec 20, 2008
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