Leanne here. Normally I like to kick off this newsletter with Titans and Preds updates because, let’s be honest, there is a v small percentage of people who like to open their email and read about real estate numbers (if you think the v is a typo please see below)… but we have found ourselves in those dreaded months where the NHL and NBA are over and the NFL is yet to start… Add increasing interest rates to the mix and it’s only fitting to start off our real estate newsletter with some real estate talk… I know, I know, I’m not excited about it either.
*v - short for “very”… Stay current, please
DAILY QUESTIONS FROM CLIENTS AND FRIENDS
Do you think the market is going to crash?
Well, no one knows the answer to that. What we do know is that there are still more buyers than there is inventory. Also, we can’t compare 2008 to 2022. In 2008, people were getting loans they weren’t qualified for and today it's much harder to get a loan. It’s a different dynamic out there than what we saw last time there was a correction. Standard market appreciation* is 2-3% per year and Nashville has seen upwards of 20-25% per year. This is where I think we will see the slowdown. Do we think Nashville drops to 2-3% appreciation per year? No, we don’t. But could it be 5% to 10%? Absolutely.
*standard market appreciation - a fancier way of saying how much your home increases in value
Should I wait to buy a home?
You don’t need to wait to buy a home but please be educated. Work with an agent who understands the market and the shifts in the market. Real estate is still one of the best investments you can make if you know what you’re doing. From 1990-2000 a 7% interest rate was considered low and yes, we might get back there soon.
Finally moving on to sports…
Potential New Stadium Updates:
The current lease expires in 2038
Mayor Cooper has promised he won’t sell public land, raise sales tax, or property taxes to pay for the stadium
Burke Nihill (President/CEO) wants a new stadium - he presented the analysis, done by AECOM Hunt, and it will take $1.2B to renovate and $900M in upgrades to keep Nissan Stadium going through the end of the current lease OR the new stadium cost is projected to be between $1.9 and $2.2B
We find ourselves in a little bit of a situation with Forsberg. It’s hard for me not to type Scoresberg, it’s so Nashville of me but I can’t help it. Poile apparently thought it was a good idea to not sign him or trade him prior to the March trade deadline so here we are. Free agency hits July 13th. Reports are saying he isn’t expecting “Josi type pay” so surely we can get something done.
Things happen at Bricktops. I don't just say that because of the bar that is packed at lunch and dinner every day, though I have personally seen strangers connect and exchange contact information multiple times. I don't say that because our most used title attorney is across the street and will walk over anytime after a closing. I say that because Leanne is there twenty times a week and wherever Leanne is, shit gets done. It is also where we met. She said she was thinking about getting her license and wanted to talk about it. Someone had put us in touch for that very reason. I had owned a brokerage for years and had been doing real estate since my first flip house at 18. She had some investment properties and began exploring ways to capitalize on them and any future properties. About ten minutes into getting to know her, I bypassed the typical questions and conversations I would have with someone who was considering coming on board and just said "Get your license. You will succeed on accident." People with the type of ambition, attention to detail, and assertiveness that Leanne has succeed almost no matter where they are or what they are doing. Throw in the fact that she was extroverted and already had a network of stellar people who trusted her in Nashville, and her path crystallized before my salad arrived. She didn't necessarily know it, but I did. Some people just have "it." They take off without knowing they are even trying. I've seen it happen like that a few times but I cut her more commission checks in her first two years than any other agent I've ever had. Three years from the time we met at Bricktops we have a building on 8th avenue that says "Kreps & Tate" on it and Leanne has been recruited by almost every top firm in town. Sucks for them. Not just financially - the beautiful desk I'm writing this on was custom designed by Leanne in the office that she designed for me to sit in. True story.
I may lose my partner for saying this but nothing about Bricktops is original or special. There are no design or innovation awards to boast about. The best item on the menu is the bacon and eggs. Ok fine, its the deviled eggs with millionaires bacon and it is F***ing amazing. But it isn't the truffle risotto at Catbird seat and it isn't Roberta's Brooklyn-style pizza at Urban Cowboy Public House... (foreshadowing much?). So why does everyone go there? The service is great. It's fast. It's friendly. It's comfortable. It's convenient (huge private parking lot in the back and right on West End). And the food is good. Yes, there are simple items like "crispy chicken tenders" and "steak frites." But you can also get lobster bisque and fish tacos. They get a C+ for variety. The ambiance is mostly social. It isn't loud but there is enough chatter in the air to make you feel like you're a part of something happening while you're there. Jack Taylor founded Enterprise Rental Car, a billion-dollar company, on the premise that service mattered that much to people. Were their cars better? No. Was it cheaper? No. So how did they tap into a highly competitive market and become the leader? By concentrating on service and friendliness. That's what Bricktops is, in my opinion. Leanne may see it differently.