There’s no denying it — the short term rental (STR) market in Nashville is taking a hit right now. Tourism is down roughly 30% compared to previous years, and the uncertainty in the broader market has created the perfect storm for STR owners, especially those who were just barely breaking even.

Many of these owners are now highly motivated sellers, creating a rare opportunity for investors who understand the long game.

It's no secret that Nashville has been one of the big winners for real estate investors over the past 20+ years. Our city has seen multiple waves of investors, most of whom have come out ahead--especially if they held onto the property for a number of years. I have worked with many clients with portfolios of 15+ properties which have more than doubled in value if they purchased them a decade ago and now have a mature portfolio that is 100% cashflow.

Zillow is changing their process. Interest rates are holding steady above 6.5%. The stock market is fluctuating. New tariffs could have a huge impact on the supply chain. No one really knows what to expect tomorrow.

All of this unpredictability wreaks havoc on the real estate market. In times of uncertainty, buyers and sellers either freeze or panic — most preferring to “wait and see” what happens. Even if we knew for sure that the market would take a hit because of tariffs or other factors, people could plan accordingly. But when the future feels unclear, the market stalls.

The election is over, so what’s next for the real estate market? Talk to any agent and they’ll tell you they had clients waiting until the election was over to make a move. Now that we know who our President will be for the next four years, will buyers come back to the market? I think this past week has shown us that they will. Whether it’s because they want to move to a different state, or finally move up in-house, we are seeing buyers start to prepare themselves to purchase in the next few months. While some will likely wait until after the holidays, the smart buyers are looking now.

With the new NAR settlement and all of the miscommunication around it, it’s no wonder that buyers are confused. We, as an industry, must do all we can to help educate the general public. Unfortunately, the unintended consequence of the ruling is that buyers now don’t know whether they should enlist a buyer’s agent when searching for a home.

Unless you’ve been living under a rock, you’ve likely heard this question from Buyers and Sellers more frequently: “What does the NAR settlement mean for me?” While none of us have a crystal ball, I can share how I’ve been handling these conversations with my clients.