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The Nashville real estate market is constantly changing which is why we felt the need to create a 'living' blog post that monitors and interprets the Davidson County real estate market on a monthly basis. As a real estate brokerage and member of the MLS, we have access to exclusive market data. The goal of this post is to democratize and interpret this data so that potential home buyers and sellers can educate themselves on the current market conditions.

Of course, the best way to get a pulse on the market is to talk with an experienced local real estate agent. If you have any questions about the state of the market or the home buying/selling process, please feel free to contact us at [contact@felixhomes.com](mailto:contact@felixhomes.com) or [615-354-5731](tel:6153545731).

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## May 2021

### Single Family Homes
![Graph depicting the Nashville real estate market in May 2021 for Single Family Homes](https://felix-homes-assets.s3.us-east-2.amazonaws.com/May_2021_Single_family_home_market_data_ec3bcb8c44.png)

Is the Nashville real estate market returning to some sort of normalcy? Perhaps. May was the first month since the beginning of the year where housing inventory was greater than the previous month! In May 2021, there were 1,577 single-family homes available for sale compared to 1,522 in April 2021. Not a huge increase but we'll take it! Keep in mind this is still peanuts compared to the level of inventory in May 2020 which was 3,492. The number of new listings added to the market in May 2021 (1,065) was also higher compared to April 2021 (1,011) which is a great sign for buyers who have been discouraged by intense bidding wars. Part of this increase is likely due to seasonality as May, June, and July are historically the most popular months to list a home. These are also the months when buyer demand is at its greatest.

Prices continued to rise in May with the average sales price of a home in Davidson County surpassing $550,000! This represents a 29.1% increase compared to the average sales price in May 2020 and is $37,025 higher than the average sales price in April 2021 ($514,543). The average number of days on market continues to be historically low. At Felix Homes, our average days on market since the beginning of the year is just 7 days!

Even with the slight increase in inventory, multiple offers and bidding wars are still common. Buyers are increasingly making offers above the list price. In fact, the average percent sales to list ratio in May 2021 was 101.8%. This means that on average, a home with a $500,000 list price will sell for $509,000.

The 30-year mortgage rate was at its highest since January during the first week of April but has since dropped back below 3% in May. Some are expecting rates to rise in the coming months as the Federal Reserve tries to keep inflation under its target of 2%.

### Townhomes and Condos
![Graph depicting the Nashville real estate market in May 2021 for Townhomes and Condos](https://felix-homes-assets.s3.us-east-2.amazonaws.com/May_2021_Townhome_market_data_f920b0ffa3.png)

The number of townhomes and condos for sale in May 2021 was 650, a 43.7% decrease compared to this time last year (1,154). That said, the number of new listings added in May 2021 was a healthy 386–just 10% less than May 2020. 

The market for townhomes and condos has been lagging behind the single-family home market but it's safe to say it's finally caught up. The average price of a townhome in Davidson County in May 2021 was $371,996, a 24.4% increase compared to May 2020. Month over month, the increase is equally as staggering. The average price of a townhome in April 2021 was $315,827! 

Bidding wars are just as common in the townhome market as they are for single-family homes. In fact, the average percent sales to list ratio in May 2021 was 100.0%–it's safe to say there are no deals to be had in this market.

## April 2021

### Single Family Homes
![Graph depicting the Nashville real estate market in April 2021 for Single Family Homes](https://felix-homes-assets.s3.us-east-2.amazonaws.com/Nashville_real_estate_market_in_April_2021_for_Single_Family_Homes_52a68ee2a0.png)

For those who thought the supply crunch in Davidson County couldn't get much worse, guess again. According to Realtracs MLS, just 1,011 new single-family home listings were added to the market in April 2021. This represents a 21.1% decrease from the number of new listings added in April 2020 (1,281). Unsurprisingly, the number of total listings on the market continues to dwindle as fewer new listings replenish the homes that sell every month. There are just 1,522 active listings as of April 2021 compared to 1,544 in March 2021 and 3,251 one year ago. 

How are prices responding? The average price of a home in Davidson County broke $500K to $514,543 which is 21.1% higher than this time last year. Bidding wars have become the norm and buyers are waiving contingencies left and right. Hot listings are receiving offers for 5%-10% above their list price. In fact, we recently listed a home for $430,000 which sold just 8 months ago for $399,900. In a matter of 4 days, we received multiple offers and the winning offer was willing to pay $465,000. The average percent of list price received broke 100% in April to 100.8%. This means that on average, a home listed for $400,000 will sell for $403,200. Keep in mind desirable listings will typically command a significant amount over their list price.

Apprisers are having a difficult time in this market. Prices have appreciated so much so quickly that they are finding it hard to select comps that justify a given sales price. This is an issue as most buyers choose to finance the purchase of a home using a mortgage. As a listings agent, it's important to determine the likelihood a deal will close. For example, in a scenario where you receive five offers two of which are waiving the appraisal contingency, it may be worth potentially taking a lower sales price if the buyer is willing to waive the appraisal contingency as opposed to rolling the dice on an offer that is contingent on the appraised value equaling or exceeding the sales price. 

It's hard to envision a catalyst that will return some sort of normalcy to this market. Our hypothesis is that the lack of inventory is due to the fact that nobody wants to be a buyer in today's competitive market. Yes, you can sell your home for a record price but unless you are planning to leave the country or rent, you will have to enter the brutal battle of being a buyer in what is turning out to be one of the most competitive housing markets in recent history. One thing is clear, if you are an investor or have an opportunity to sell your home, you likely won't find a better time to capitalize on the market.

30-year mortgage rates hit 3.18% during the first week of April according to Freddie Mac but have since relaxed to below 3% in the subsequent weeks. 


### Townhomes and Condos
![Graph depicting the Nashville real estate market in April 2021 for Townhomes and Condos](https://felix-homes-assets.s3.us-east-2.amazonaws.com/Nashville_real_estate_market_in_April_2021_for_Townhomes_and_Condos_ca87d53cd8.png)

The market for townhomes and condos didn't experience nearly the same level of shortage compared to the single-family home market. 377 new listings were added in April 2021 compared to 312 in April 2020 and 394 in March 2021. The number of active listings on the market in April was 687 which represents a 30.1% decrease from April 2020 (983).

The average townhome in Davidson County closed for $315,827 in April which is up 20.9% compared to this time last year. We listed a condo in West End in April for $360,000–a record for the neighborhood. After two days on the market, we received three offers with the winner offering $380,000. An offer so high above the list price can seem suspicious. In this scenario examining the contingencies closely is crucial to ensure your client is protected. Just because a buyer is willing to offer a certain price in the purchase agreement doesn't mean they will necessarily close the deal for that price. Now more than ever, it's necessary to weigh offers that will waive the appraisal contingency or those that are willing to pay a guaranteed dollar amount above the appraised value. In the example of our listing in West End, we negotiated for the buyer to waive their contingency. This means that if the appraisal comes in at $350,000, the buyer will need to contribute an additional $30,000 in cash at closing.

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## March 2021

### Single Family Homes
![Graph depicting the Nashville real estate market in January 2021 for Single Family Homes](https://felix-homes-assets.s3.us-east-2.amazonaws.com/March_2021_Single_Family_5c8c038958.png)

The supply-side crunch continues in March for single-family homes in Davidson County with just 1,053 new listings added to the market. While this may sound like a lot, it's a 21.8% decrease from March the previous year. Not only are fewer new listings being added to the market but the number of homes that are currently listed are being purchased at a record pace. 

In March 2021, there were only 1,544 homes available for sale in Davidson County compared to 3,121 homes in March 2020. A historic 50% decrease that's likely to continue if the number of new listings being added to the market continues to decrease. 

Bidding wars are becoming more common and it is not unusual for listing agents to utlize an "offer deadline" which is a date and time that all offers must be turned in by. In March 2021, the average percent of list price received was 99.9% compared to 98.9% in March 2021. This may not seem like a big jump, it means that the average home is selling for its list price. Since this number is an average, it means that a large portion of homes are selling above their list price. In our experience, it is common for some homes to fetch 5%-10% above what they are currently listed at and for there to be 10 or more offers on competitive listings.

What impact is this having on prices? The median sales price in Davidson County in March 2021 was $376,000 compared to $341,000 in March 2020, more than a 10% increase. The median home price in March 2021 was also quite a bit more than February 2021 which was $368,000. 

In our experience, appraisers are having a difficult time in this market since home prices have risen so quickly. This is important because if a home doesn't appraise at the sales price, it risks killing the deal unless the buyer and seller are willing to renegotiate the sales price or the buyer is willing to make up the difference in cash. 

The 30-year mortgage rate in March breached the 3% threshold. While rates are predicted to continue rise from their January lows, it's likely they will remain historically low. We predict rates to stay within the 3%-3.5% range throughout 2021.

### Townhomes and Condos
![Graph depicting the Nashville real estate market in March 2021 for Townhomes and Condos](https://felix-homes-assets.s3.us-east-2.amazonaws.com/March_2021_Condos_96ba92d56d.png)
The market for townhomes and condos continues to be stable. In fact, the number of new listings added to the market in March 2021 increased by 4.2% to 394 compared to March 2020 (378 new listings).

While new condo/townhome listings are being added to the market at a healthy rate, they are being purchased quickly. The number of condos and townhomes on the market decreased by 25% to just 700 listings in March 2021 compared to March 2020. This is a continuation of the trend we noticed in February.

The number of condos and townhomes on the market is decreasing which is causing prices to increase. In March 2021, the median sales price was $280,608 which represents a 7.8% increase compared to the prior year. While prices haven't increased as much as the single-family home market, it is definitely something to keep an eye on. If the inventory of condos/townhomes continues to decrease, it is likely that prices will rise even faster. 

We don't see as many bidding wars when it comes to condos/townhomes compared to the single-family home market. This could be because condos and townhomes are desirable to a smaller demographic whereas there are more potential buyers for single-family homes. The average percent of list price received for a condo/townhome in March 2021 was 99.3%, a healthy number that is just slightly above the March 2020 figure (98.8%).


## February 2021

### Single Family Homes
![Graph depicting the Nashville real estate market in February 2021 for Single Family Homes](https://felix-homes-assets.s3.us-east-2.amazonaws.com/February_2021_Single_Family_fd2bbaa667.png)

The single-family home market for Davidson County extended its shortage of supply in February with only 799 new listings compared to 1,095 new listings in February 2020 and 1,136 new listings in January 2021. Seasonality is definitely playing a role as February isn't a particularly popular time to list a house although the 27% decrease from 2021 compared to 2020 may hint at something else going on. 

The inventory of homes for sale has also decreased compared to the prior month with just 1,642 homes available for sale in Davidson County in February 2021 compared to 1,773 in January 2021. 

Prices are up compared to February 2020, however, not as much as in January 2021. The median price for a single-family home in Davidson County in February 2021 was $368,000, an 8.3% increase compared to February 2020.

The market is getting more competitive though. Another stat we like to look at is the percent of list price received. This tells us how close the final sales price is to the initial list price. If the percent of list price received is less than 100%, then the final sales price was lower than the initial list price. In February 2021, the average percent of sales price received was 99.6% compared to just 98.4% in February 2020. 

The demand side of the equation continues to be strong. 30-year mortgage rates during the first week of February hit 2.73%, up slightly from January (2.65%). There continues to be strong demand for Nashville real estate as out-of-state buyers flock to the city.

### Townhomes and Condos
![Graph depicting the Nashville real estate market in February 2021 for Condos and Townhomes](https://felix-homes-assets.s3.us-east-2.amazonaws.com/February_2021_Condos_67f9fbb4cc.png)

The market in Davidson County for townhomes and condos continues to be stable. In February 2021, there were 319 new listings added to the market, a slight decrease from the 322 new listings added to the market in February 2020.

Prices have also remained stable with a median sales price in February 2021 of $275,000, just 6.1% more than the median in February 2020. 

The number of condos and townhomes listed for sale dropped by 17% in February 2021 to 733 compared to 883 condos/townhomes available for sale in February 2020. If this trend continues, it will be interesting to see if the median sales price for condos increases at a faster pace.


## January 2021

### Single Family Homes
![Graph depicting the Nashville real estate market in January 2021 for Single Family Homes](https://felix-homes-assets.s3.us-east-2.amazonaws.com/January_2021_Single_Family_c9fa724708.png)

2020 was a crazy year for Nashville real estate. As Covid-19 started to shut down parts of the economy in March, 2020, the real estate market was met with a lot of uncertainty. The real estate market got a boost from low interest rates which were allowing buyers to finance the purchases of homes extremely cheaply.

This trend has continued into the new year. The 30-year mortgage rate was 2.65% during the first week of January according to [freddiemac.com](http://www.freddiemac.com/pmms/#). Coupled with the ongoing trend that Nashville continues to be a popular choice among homebuyers fleeing California, New York, and Illinois means that prices will inevitably move higher.

Buyer demand is only one side of the coin. The Nashville real estate market is also being impacted by a shortage of homes available for sale. Comparing the number of new listings in January 2021 to January 2020 shows that there was 8.8% fewer new listings added to the market. Even more alarming is the inventory of homes for sale which has decreased by nearly 40% from 2020 to 2021.

Increasing demand and decreasing supply for Nashville homes is creating the perfect storm for rising prices. In January 2020 the median sales price for a home in Davidson County was just under $320,000 whereas the median sales price in 2021 was over 15% higher ($369,450).

### Townhomes and Condos
![Graph depicting the Nashville real estate market in January 2021 for Townhomes and Condos](https://felix-homes-assets.s3.us-east-2.amazonaws.com/January_2021_Condos_bff935a588.png)

The real estate market in Davidson County for Townhomes and Condos hasn't been impacted by the same supply-demand imbalance that we've seen in the single-family home market. Looking at the data, there was close to a 50% increase in the number of new listings in January 2021 compared to January 2020. The total inventory of condos and townhomes for sale was only lower by 4.4% in January 2021. Overall, the median sales price was up by 8.4% to $265,165 which is only slightly higher than we would expect in a growing market such as Nashville.

So why isn't the market for townhomes and condos as crazy as the market for single-family homes? Part of the reason may be due to who is moving to Nashville. Generally speaking, condos are less expensive, smaller, and have fewer bedrooms compared to single-family homes. If families are primarily moving to Nashville, then it makes sense why there is increased demand for single-family homes compared to condos. Keep in mind that condos and townhomes also haven't experienced such a large decrease in new listings which means that the supply side of the condo market is healthy.

Nashville's real estate market is constantly changing. Our goal is to interpret exclusive market data so buyers and sellers can be educated on the current market conditions.

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Nashville market update

We have our finger on the pulse of the Tennessee real estate market. Follow along as we bring you the latest real estate news and updates on the local Tennessee market.

What's Going On With The Nashville Real Estate Market?

Tennessee is a great place to visit but is it also an ideal place to move? We've put together a comprehensive 2021 guide for folks who are thinking about moving to Tennessee.

Image of a highway sign with the words "Tennessee welcomes you"

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Moving to Tennessee

The Tennessee real estate market is booming and for good reason. Cities like Nashville, Memphis, and Knoxville have a lot to offer. See our tips for moving to Tennessee.

Pros And Cons Of Moving To Tennessee In 2021

In real estate, there are three words that really matter–Location. Location. Location. 

But what exactly does location mean, and why is it so important? Location isn't just about the street the property is located on, although that plays a major role. The location also includes; the town, the proximity the home is to various amenities, and how safe the neighborhood is. Why is this so important? You can change the color of your house, update the kitchen, and add an extra bathroom. But you can't change the location of the home. Safety is a key piece to this puzzle, and we've compiled a list of the 10 safest places to live in Tennessee. 

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## What Are The Different Types Of Crime That Are Tracked?

Before we dive into the list of safest places to live in Tennessee, let's first define what safety means, and how a city or town tracks its safety level. There are two main crime statistics that are tracked; violent crimes and property crimes. A key thing to note is that crime rates are benchmarked per 1,000 residents. For example, if 'the violent crime rate in a city is 2 per 1,000.' That simply means, on average, 2 in every 1,000 people are victims of a violent crime. 

### Violent Crimes

According to the [FBI](https://ucr.fbi.gov/crime-in-the-u.s/2018/crime-in-the-u.s.-2018/topic-pages/violent-crime), violent crimes are "composed of four offenses: murder and nonnegligent manslaughter, forcible rape, robbery, and aggravated assault. Violent crimes are defined in the Uniform Crime Reporting (UCR) Program as those offenses which involve a threat of force." A town with a low violent crime rate will have fewer reported violent crimes per year. 

### Property Crimes

The [FBI defines](https://ucr.fbi.gov/crime-in-the-u.s/2018/crime-in-the-u.s.-2018/topic-pages/property-crime) property crimes as the following offenses; "burglary, larceny-theft, motor vehicle theft, and arson." A town with a low property crime rate will have fewer instances of these crimes being reported per year. 

If you're looking for the [best places to raise a family in Tennessee](https://www.felixhomes.com/blog/best-place-for-families-to-live-in-tennessee) or the [best places to retire in Tennessee](https://www.felixhomes.com/blog/best-places-to-retire-in-tennessee), you should be looking for a town with low property crime and violent crime rates! 

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## Safest Cities In Tennessee

### Brentwood 

[Brentwood Tennessee](https://www.felixhomes.com/homes-for-sale/city/tn/brentwood) which happens to be our pick for the [top Nashville suburb in 2021](https://www.felixhomes.com/blog/best-suburbs-of-nashville-real-estate) is located just 15 minutes south of Music City. Everything about Brentwood screams luxury, especially the [high-end homes and mansions](https://www.felixhomes.com/homes-for-sale/city/tn/brentwood/luxury-homes). From the small-town feel to their [award-winning public school system](https://www.felixhomes.com/blog/nashville-suburbs-with-best-school-districts), families from all over want to live here! Undoubtedly, this suburb is often considered one of the safest places to live in all of Tennessee. 

It should be no surprise that the safety and luxury Brentwood offers come at a premium. The median income is among the highest in the state and the median home price can cost you over $750,000. The population of this town is just over 42,000 residents, and the crime rates are low! 

The violent crime rate per 1,000 is just 0.89, which is well below Tennessee's average of 5.95! Not only is the violent crime rate low, but the property crime rate is also well below the national median. Coming in at 8.74 per 1,000 residents, it's clear this gorgeous town surely ranks as one of the safest places to live in Tennessee.

The town's own police department does a great job and law enforcement is present in the public schools, patrolling the downtown area, and will even attend sporting events. This suburb deserves its reputation as one of Tennessee's safest cities.

### Atoka

Located north of Memphis Tennessee is the town of Atoka. The town's population is just shy of 10,000 residents, with a house median income of roughly $90,000. Most residents own their homes and the average home price is an affordable $231k. 

According to an FBI report, this town is considered one of Tennessee's safest cities. The chances of being a victim of a violent crime are low, coming in at 96.7 per capita. 

A nonviolent crime, such as vehicle theft or property damage, is a rare occurrence in this small town. On the crime index scale, property crime in Atoka received a score of 17.4, whereas the state of Tennessee received a score of 42.8. Remember, the lower the score, the better. 

**PRO TIP: [See the pros and cons of moving to Tennessee](https://www.felixhomes.com/blog/moving-to-tennessee)**

### Hendersonville

![Image of Old Hickory Lake in Hendersonville Tennessee](https://felix-homes-assets.s3.us-east-2.amazonaws.com/Old_Hickory_36592b6520.jpg)

Situated on Old Hickory lake is the gorgeous family-orientated community of Hendersonville. This town is located just 20 miles north of Nashville and is considered one of Tennessee's safest cities. The town's population is roughly 57,000 people. Residents of Hendersonville not only enjoy an endless amount of water activities, but they also enjoy phenomenal schools and a gorgeous downtown. 

The cost of living is higher here, but you pay for what you get. The crime data suggests the residents of this town appreciate a great deal of safety with their day-to-day lives. [Homes in Hendersonville](https://www.felixhomes.com/homes-for-sale/city/tn/hendersonville) typically cost between $350,000 - $650,000.

Data from 2020 suggests the violent crime rate here is nearly half the national U.S. average! And property crime is also well below the national average. Law enforcement patrols 500 miles of roadway and the 40+ square miles that make up the lakeside town. The [Hendersonville police department](https://hvillepd.org/) has over 90 patrol vehicles as well. 

### Maryville

South of Knoxville is the town of Maryville Tennessee located in Blount County. The population of this town is roughly 24,000 residents. Most of the residents that live in this town commute to Knoxville for work and the median home cost is below the USA average. This goes to show that you don't need to break the bank in order to live in a safe town.

Crimes per 1,000 are certainly low by any standard. Violent and property crimes are well below the U.S. average. On a scale from 1 (low crime) to 100 (high crime), data from a 2020 study suggests Marville's violent crime is 12.1 whereas 22.7 is common in most small towns across the nation. 

The property crime rate was 34.9. Although this is higher than violent crimes, it is still below the national average making it one of the safest cities in Tennessee.

### Nolensville

![Image of the front of a single family home located in Nolensville Tennessee](https://felix-homes-assets.s3.us-east-2.amazonaws.com/Nolensville_0f58090021.jpg)

If you're traveling on route 41A, you'll come across Nolensville Tennessee south of Nashville. The town has a beautiful southern charm feel to it and has a total population of roughly 8,500 residents. The median home price is on the higher end and will cost a family between $500,000 and $650,000 to purchase a [house in Nolensville](https://www.felixhomes.com/homes-for-sale/city/tn/nolensville). Between the sense of security the town provides, low crime rates, and a highly rated public school system, it's no wonder why families love this town. 

The crime rate per 1,000 residents is on the low end. The violent crime rate is just 1.87 per 1,000 residents. Although you should always be cautious no matter where you live, law enforcement does a great job keeping this Nashville suburb safe. On the crime index scale (1-100), Nolensville scored 21.1 for property crime rate - which is 14.3 points lower than the national standard. Without question, this is one of the safest cities in Tennessee. 

### Spring Hill

![Image of the front of a single family home located in Spring Hill Tennessee](https://felix-homes-assets.s3.us-east-2.amazonaws.com/Spring_Hill_f6394491c2.jpg)

Another suburb south of Music City that makes our list of the safest places to live in Tennessee is Spring Hill. This town has a population just shy of 40,000 citizens and is conveniently located off of route 31, sandwiched between Franklin and Columbia. Spring Hill is such a safe city that it's #2 on our list of [best places for families to live in Tennessee](https://www.felixhomes.com/blog/best-place-for-families-to-live-in-tennessee)!

The violent crime is 69.2 per the 40,000 citizens or 1.72 per 1,000. To put that in perspective, the nation's typical score is 4.49 per 1,000.

The population is rising in Spring Hill due to its great school district and favorable cost of living. Spring Hill ranked #2 on our [2021 list of best places to raise a family in Tennessee](https://www.felixhomes.com/blog/best-place-for-families-to-live-in-tennessee). The level of safety this suburb brings is attracting more residents, but you can still get a nice place to call home in [Spring Hill](https://www.felixhomes.com/homes-for-sale/city/tn/spring-hill) between $350,000 and $750,000. 

### Church Hill

In the northeast corner of Tennessee is Church Hill, a town of roughly 6,700 people. This area is becoming increasingly popular, and for good reason. The tax rate, location, and low crime are causing this area to see a surge in home values. 

Citizens of Chuch Hill not only appreciate the natural beauty, but also the safety of the town. Per 1,000, the violent crime rate is 1.8. That's incredibly low! 

The property crime rate is 4.2 per 1,000. Even though Chuch Hill is a small town, it has its own law enforcement which helps keep its reputation as one of Tennessee's safest cities. 

### Signal Mountain

Directly outside of Chattanooga, and to the west of Soddy Daisy, is Signal mountain, a town known for its hiking trails and serene lakes. There are less than 9,000 residents of the town, and beauty isn't the only thing this area has going for it! The public school system is well above the state average, and most folks own their own home. Families love it here, and it's no secret why. 

The town's community certainly appreciates how safe Signal Mountain is. The combined violent crime rate and the property crime rate is under 5 per 1,000! In isolation, the violent crime rate is 0.46 per 1,000, and the property crime rate is 4.53. Without a doubt, those numbers make this area one of the safest cities in Tennessee. 

### Kingston Springs

![Image of the front of a single family home located in Kingston Springs Tennessee](https://felix-homes-assets.s3.us-east-2.amazonaws.com/Kingston_Springs_24e14194c9.jpg)

Kingston Springs is yet another safe suburb located just outside of the infamous Music City.  The town is made up of roughly 2,800 citizens. It takes less than 30 minutes to get to Downtown Nashville from Kingston Springs, making this a perfect commuting town. 

This picturesque community has a ton of natural beauty. Located on the Harpeth River, you will find plenty of outdoor activities to do with your family in the summer months. The school system is strong, and the town has minimal violent and property crimes. Kingston Springs isn't just a great city for families, it also ranks as one of the [top places to retire in Tennessee](https://www.felixhomes.com/blog/best-places-to-retire-in-tennessee). [Homes in Kingston Springs](https://www.felixhomes.com/homes-for-sale/city/tn/kingston-springs) typically cost between $300,000 - $550,000 and many homes are located on at least an acre of land.

### Watertown

If living in a small rural town is more your speed, be sure to consider moving to Watertown Tennessee. This town has a population of roughly 1,700 people. You're far enough outside of the closest city, Lebanon, which allows residents of Watertown to buy homes situated on a large piece of land without breaking the bank. But you're close enough to the city where you can still enjoy a date night. [Homes in Watertown](https://www.felixhomes.com/homes-for-sale/city/tn/watertown) typically cost anywhere from $275,000 to $1,000,000 depending on how much land the property includes.

According to [areavibes.com](https://www.areavibes.com/watertown-tn/crime/), the violent crime rate, and the property crime rate, is well below the national average. Residents in Watertown enjoy small-town country living, with just one town center where you'll find all your necessities. 

### Other honorable mentions

We wanted to limit this list to just 10, but there are other great cities that are worth mentioning. Oak Ridge, Franklin, Collegedale, and Germantown are all considered desirable places to live within Tennessee and provide a sense of comfort and security. 

## Is Tennessee A Safe State?

Many people are proud to call Tennessee home. This is for good reason. The state has a favorable tax system, a mild climate, and is in a convenient location. Not only that, for the most part, this state is a safe place to live! Of course, there are some parts of the state that inflate the overall crime rate, and we'll touch on that below. 

The safest area of Tennessee is located in the suburbs just outside of Nashville. Many of the suburbs listed above are all within 40 minutes of Nashville. Our pick for the safest city in Tennessee is Brentwood!

## What States Are Considered The Safest In The U.S.?

The North East is well known for being the safest part of the country. Maine is the safest state, but Vermont is a close second. New Hampshire, New Jersey, Rhode Island, and Connecticut are all in the top 10 safest states in America. 

## How Does Nashville Compare To Similar Cities?

How does Nashville stack up against other well-known cities? Overall, Nashville ranks safer than Atlanta from both a property and violent crime rate. However, Austin, Denver, and Charlotte all have a slight safety advantage. 

## What Are The Top 10 Safest Cities In The U.S.?

According to [safe wise](https://www.safewise.com/safest-cities-america/), the top 10 safest cities in America are:

1. Broadview Heights, Ohio
2. Hopkinton, Massachusetts
3. Oakland Township, Michigan
4. Ridgefield, Connecticut
5. Bergenfield, New Jersey
6. New Castle Town, New York
7. Franklin, Massachusetts
8. Bedford Town, New York
9. Shrewsbury, Massachusetts
10. Bernards Township, New Jersey

## What Cities In Tennessee Are The Least Safe?

Now that we covered what are the safest areas in Tennessee, let's review the more dangerous areas. 

### Johnson City

Johnson City has a crime rate of 41 per 1000, making it one of the highest crime rates in America compared to other communities of the same size. Property crime is also common, impacting nearly one person per every 24! 

### Memphis

A 2020 study suggested Memphis Tennessee was ranked the most dangerous city in the country! The crime rate is 81 per 1,000 residents. 

### Dyersburg

Dyersburg has one of the highest crime rates in Tennessee and compared to cities of the same size across the country, its safety rating isn't looking good. The crime rate is 67 per 1,000 - well above the national median.

### Nashville Metro

The crime rate for the Nashville Metro is 54 per 1,000. Unfortunately, despite the wonderful music and food culture this city has to offer, crime does not stay away. That said, not all neighborhoods in the Nashville metro have a high crime rate. Neighborhoods such as Green Hills, Sylvan Park, or Oak Hill are safe. The overall Nashville crime rate gets dragged down by up-and-coming neighborhoods such as North Nashville, Antioch, or parts of East Nashville.

### Jackson

Located on the western side of the state is Jackson Tennessee. This city has a population of roughly 70,000 citizens. The crime rate is 47 per 1,000 - which is high when compared to all communities of similar sizes. 

## About Felix Homes

[Felix Homes](https://www.felixhomes.com/) is a Nashville-based [low-commission real estate brokerage](https://www.felixhomes.com/blog/low-commission-real-estate-agents-nashville) servicing middle Tennessee. We have one simple mission - to be the most financially responsible way to buy or sell a home.

We make our mission possible by not only charging a low commission fee on both the [buy](https://www.felixhomes.com/buy) and [sell-side](https://www.felixhomes.com/sell) of the transaction, but our brokerage also has a fundamentally different business model when compared to traditional brokerages. We are a tech-enabled real estate firm and instead of having independent contractors agents, we have full-time employees who specialize in specific tasks such as marketing, finance, photography, technology, and of course, being a real estate agent.

Don’t be mistaken, a discounted price doesn’t mean a discounted service. We are a full-service brokerage! Our agents' only job is to focus on you, the client. Our average client keeps an additional $8,100 in their pocket after they sell their home using our low commission model. If you’re interested in hearing more or need any support on any real estate matter, we can be reached at [contact@felixhomes.com](mailto:contact@felixhomes.com) or [615-354-5731](tel:6153545731).

Safety is a key consideration when buying a home. As Tennessee real estate experts, we've compiled a list of the top 10 safest places to live in Tennessee in 2021.

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2021 Top 10 Safest Places To Live In Tennessee

The Tennessee real estate market is booming! So much so, [builders are struggling to keep up with the increasing demand](https://www.felixhomes.com/blog/nashville-new-construction-report). The [U.S. Census](https://www.census.gov/quickfacts/TN) suggests the population for the entire state is just shy of 7 million people and is positioned to grow rapidly over the next decade. Between the natural beauty of the state, the [low cost of living](https://www.felixhomes.com/blog/cost-of-living-in-tennessee), and the unparalleled culture, Tennessee is welcoming an increasing number of residents each year. Tennessee is not only known for being one of the [best places to retire](https://www.felixhomes.com/blog/best-places-to-retire-in-tennessee) but it's also a great place to raise a family!

More families with children are calling Tennessee home. The mild climate, outdoor amenities, low crime rate, and fantastic school system make this state a great place to raise a family. We've canvased the entire state and compiled a list of our top places families with children should considering living. Whether you're looking to [move to Tennessee](https://www.felixhomes.com/blog/moving-to-tennessee), or simply relocate within the state, this list is for you! 

**[PRO TIP: Check out our top 10 list of best Nashville suburbs in 2021](https://www.felixhomes.com/blog/best-suburbs-of-nashville-real-estate)**

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## #10 - Murfreesboro 

[Murfreesboro](https://www.felixhomes.com/homes-for-sale/city/tn/murfreesboro) may be known as the home of Middle Tennessee State University but the city has so much more to offer. Murfreesboro's population is quickly approaching 140,000 residents and is among the fastest-growing cities in all of Tennessee. Why's that? There's so much to love about Murfreesboro from its rich Civil War history to the affordable cost of living. 

Additionally, the city has a fantastic school system, plenty of outdoor parks, and a diverse culture. If you're a foodie, you're in luck. Murfreesboro has many delicious restaurants to choose from, a cute downtown, and is located less than 40 minutes outside of Music City.

The real estate market is diverse and very competitive. The median home price is just over $300,000.  But make no mistake, you get a lot of value for your buck. 

## #9 - Green Hills 

If you're looking to live in Nashville proper, [Green Hills](https://www.felixhomes.com/homes-for-sale/neighborhood/tn/nashville/green-hills) may be the right neighborhood for you! Located just 13 miles from the international airport, folks here love the convenience this area has to offer. High-end new construction is popping up all over, and it's causing housing prices to surge! It's not uncommon to pay close to one million dollars for a home in Green Hills.

With that said, families who live here agree it is well worth the investment. The value really comes from everything this neighborhood has to offer. Between the notorious Bluebird Cafe, various music venues, Lipscomb University, and an endless amount of restaurants, there's so much to like about Green Hills. That being said, many families who live in Green Hills decide to send their children to private schools. If a strong public school district is important to you and your family, we would recommend looking for homes in Williamson County.

## #8 - Signal Mountain 

Signal Mountain is a suburb of Chattanooga located in Hamilton County. Signal Mountain is without a doubt a fantastic place to live! Residents here enjoy picturesque views year-round, but autumn is arguably the most beautiful time of year.  

If you love the outdoors, this may be the perfect place for your family. Rainbow lake trail is a popular hiking trail, with plenty of beautiful waterfalls to admire along the trail.  Not only does Signal Mountain glow with natural beauty, but it is also one of the safest towns in Tennessee with low crime rates. 

Most people who live in Signal Mountain commute less than 25 minutes to work, and housing will likely run you less than $400,000. The school system is top-rated, and the median household income is above the national average. 

## #7 - Nolensville 

[Nolensville](https://www.felixhomes.com/homes-for-sale/city/tn/nolensville) is located about 30 minutes southeast of [downtown Nashville](https://www.felixhomes.com/homes-for-sale/neighborhood/tn/nashville/downtown) and is split between [Williamson](https://www.felixhomes.com/homes-for-sale/county/tn/williamson-county) and [Davidson](https://www.felixhomes.com/homes-for-sale/county/tn/davidson-county) counties. It's well known for its beautiful landscapes and rolling hills. The average household income is roughly $130,000 and the folks who live in this town enjoy some of the lowest unemployment numbers in the entire state. 

Make no mistake, this is a small town with a population of fewer than 8,500 people. Residents living here enjoy the beautiful view nature provides, and some of the best school systems in middle Tennessee. The vast majority of residents in this town own their homes and have children. 

Housing costs generally range between $450,000 - $650,000 for a single-family home, many of which were built within the past five years. Considering the school district, low crime rate, and location, Nolensville is one of the most popular places for families to settle down. Many people have said that Nolensville is the next Spring Hill and we're anticipating the population to continue to increase in the coming years. 

**[PRO TIP: See which Nashville suburbs have the best school districts](https://www.felixhomes.com/blog/nashville-suburbs-with-best-school-districts)**

## #6 - Hendersonville

![Image of Old Hickory Lake in Hendersonville Tennessee](https://felix-homes-assets.s3.us-east-2.amazonaws.com/Old_Hickory_36592b6520.jpg)

When you think about what it's like to live in Tennessee, waterfront property may not be the first thing that comes to mind. But that dream is possible for the folks who live in [Hendersonville](https://www.felixhomes.com/homes-for-sale/city/tn/hendersonville). Just 20 miles north of Nashville sits this gorgeous family orientated community. Hendersonville is situated on Old Hickory Lake, and offers plenty of [lakefront homes](https://www.felixhomes.com/homes-for-sale/city/tn/hendersonville/waterfront-homes), activities, and views! 

Families with children love to call this place home. There are plenty of small businesses and shops which really compliment the community's southern charm. The school district is excellent and, all things considered, Hendersonville has a rather affordable cost of living. There are not many places in Tennessee where you can combine lakefront living, a strong school system, low crime rates, and affordable housing costs. It's no wonder why so many people choose to raise their children here. 

## #5 - Franklin

![Image of main street in Downtown Franklin Tennessee](https://felix-homes-assets.s3.us-east-2.amazonaws.com/Downtown_Franklin_ffc300a612.jpg)

Just south of Nashville is [Franklin, Tennessee](https://www.felixhomes.com/homes-for-sale/city/tn/franklin). This town has a population of close to 80,000 residents and while it can sometimes be overshadowed by Nashville, make no mistake that Franklin is one of the premier cities in the south. The vast majority of residents own their homes and there is certainly a strong suburban vibe. There are plenty of restaurants, entertainment, parks, and cafes sprinkled throughout. Families do not only enjoy a lively town with great entertainment, but the school system is also one of the best in Tennessee.

The median house will cost you north of $400,000 and it's not uncommon to see [luxury homes in Franklin](https://www.felixhomes.com/homes-for-sale/city/tn/franklin/luxury-homes) listed for $700,000 or more. Franklin is a young city in the sense of the average resident is 37 years old according to the [U.S. Census](https://www.census.gov/quickfacts/fact/table/franklincitytennessee/PST045219). However, Franklin also has a deep history with ties to the Civil War, creating the perfect blend of modern and historic culture - making it one of the best places to live in Tennessee. 

## #4 - Germantown 

Germantown is a suburb of Memphis, Tennessee with a population just shy of 40,000 people. Germantown's economy is primarily retail or the commercial industry. The average working professional commutes roughly 22 minutes to their job. 

Convenience isn't the only selling point to Germantown. Housing is extremely desirable and you can expect to spend between $375,000 - $450,000 on a nice single-family home. The public schools are award-winning and some of the best in West Tennessee.

Families not only appreciate the fantastic schools, but they also have some of the best healthcare facilities in the Memphis area. This Memphis suburb has plenty of restaurants, parks, and gorgeous neighborhoods - making it undoubtedly one of the best places to live. Route 72 is filled with countless shopping centers, restaurants, and grocery stores. 

## #3 - Mount Juliet

You'll find the "City Between the Lakes" just 20 miles east of Nashville. [Mount Juliet](https://www.felixhomes.com/homes-for-sale/city/tn/mount-juliet) of course needed to make our list! Families from all over want to live in Mount Juliet, which is causing the local housing market to quickly rise. Homes in Mount Juliet typically range from $400,000-$600,000, and for good reason.

Mt. Juliet has fantastic schools, low crime rates, delicious restaurants, and an endless amount of activities on the lake. With Old Hickory Lake to the north and Percy Priest Lake to the south, residents can enjoy boating, fishing, and swimming right in their own backyard. Could you imagine a better quality of life?

It's common for many Mt. Juliet residents to commute to downtown Nashville, which typically takes 20-25 minutes. Household income is around $85,000 making this an affordable place to live for the time being. But as more people decide to move to Tennessee, we anticipate the housing market to continue to rise in this area. 

**[PRO TIP: See the safest places to live in Tennessee](https://www.felixhomes.com/blog/safest-places-to-live-in-tennessee)**

## #2 - Spring Hill 

Less than 40 miles south of the capital is the city of [Spring Hill](https://www.felixhomes.com/homes-for-sale/city/tn/spring-hill). This suburb, much of which used to be farmland was primarily developed within the past 10 years. If you're looking to take a break from city life, look no further! Spring Hill is made up of roughly 45,000 friendly residents, most of which are young professionals or families who own single-family homes. 

Spring Hill has it all! The location is beautiful and convenient, the school system is excellent, and the town attracts a lot of educated young professionals with families. Not to mention, the cost of living is still favorable! The vast majority of homes were built after 2000, and homes are generally priced between $320,000 and $650,000. If you're looking to buy a home in Spring Hill, pay close attention to which county you are in. Spring Hill is split between [Williamson](https://www.felixhomes.com/homes-for-sale/county/tn/williamson-county) and [Maury](https://www.felixhomes.com/homes-for-sale/county/tn/maury-county) Counties. Homes in Williamson County can command a steep premium due to the stellar school district.

We're predicting the Spring Hill real estate market to rise for the years to come. Its location, low crime rates, and strong school system make this the perfect community to live and raise children.

## #1 - Brentwood

Just 15 minutes from downtown Nashville, [Brentwood](https://www.felixhomes.com/homes-for-sale/city/tn/brentwood) is arguably Nashville's preeminent neighborhood. Known not only for its convenience in and out of Nashville but also for its luxury. The town is made up of roughly 42,000 residents and young families love Brentwood for its school system, which is consistently ranked the best in the entire state.

Everything about Brentwood is absolutely stunning. The town center is lively and well maintained. The homes are big and gorgeous and the school system is top-notch. The vast majority of residents own single-family homes and their average commute to work is less than 30 minutes. Families who live here enjoy all the luxuries the location has to offer, while still maintaining a small-town community feel. Families aren't concerned about the crime rates, as Brentwood is considered one of the [safest communities in Tennessee](https://www.felixhomes.com/blog/safest-places-to-live-in-tennessee). 

With that said, entry into this suburb [doesn't come cheap](https://www.felixhomes.com/homes-for-sale/city/tn/brentwood/luxury-homes). It's difficult to find a quality home for less than $800,000 and, the cost of living is nearly 25% above the national average. Home prices are high for a reason as many people rate Brentwood as one of the best places to live in the south.

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## You Can't Go Wrong With Our Top 10

It's not easy limiting our list to just 10 suburbs. The state of Tennessee is certainly large and diverse. Between the metropolitan cities like Nashville and Memphis, lakefront living, or beautiful country views of the smoky mountains, you can have it all. Our list is centered around suburbs or communities that families consider a great place to live. No matter where you end up on this list, you will not be disappointed! 

## What Makes Tennessee A Great Place To Live

Now that we've identified the best places to raise a family in all of Tennessee, let's briefly review why so many folks want to live in Tennessee. 

### No state income tax

Taxes, a small word that ignites so much anxiety in countless families.  It seems like everyone is looking to pay fewer taxes, and if you live in Tennessee, that's possible! Tennessee does not have a state income tax. That's part of the reason why so many people from the North East, or even the West Coast are flocking to Tennessee in busloads. You're able to keep more of your paycheck and spend it on what matters to you and your family. Taxes are not the only financial incentive the state offers. The overall cost of living is favorable, and families are able to get a lot of bang for their buck. 

### A lively culture of food, history, and music

If you love music, southern charm, and fantastic food, look no further. Tennessee's culture is second to none. That said, Tennessee has quite a few desirable cities to live in, all with their own history, unique culture, and southern charm twist. 

### The local economy and the job market

The overall economy is booming in Tennessee and for good reason. Many corporations are choosing to call Nashville, Knoxville, or Memphis home. Not only are companies able to save money with the tax laws in the state, but these corporations also realize they can attract top talent considering the universities and colleges within the state. Tennessee's population continues to rise as more companies park their headquarters in the Volunteer State. 

### The convenience of living in Tennessee

Tennessee has numerous international airports, which makes international or domestic travel a breeze. In just a short flight you can visit your friends in the North East, or dip your toes in the beautiful clear water off the coast of Florida. 

Between the favorable cost of living, great schools, mild climate, culture, economy, and healthcare system, it's no wonder why Tennessee is considered one of the best places to live, not only for families but for [retirees as well](https://www.felixhomes.com/blog/best-retirement-communities-tennessee)! 

## How Can Felix Homes Help?

[Felix Homes](https://www.felixhomes.com/) is a Nashville-based real estate brokerage servicing middle Tennessee. We have one simple mission - to be the most financially responsible way to buy or sell a home.

We make our mission possible by not only charging a [low commission fee](https://www.felixhomes.com/blog/low-commission-real-estate-agents-nashville) on both the [buy](https://www.felixhomes.com/blog/buyers-agent-commission-rebate-tennessee) and [sell-side](https://www.felixhomes.com/sell) of the transaction, but our brokerage also has a fundamentally different business model when compared to traditional brokerages. We are a tech-enabled real estate firm and instead of having independent contractors agents, we have full-time employees who specialize in specific tasks such as marketing, finance, photography, technology, and of course, being a real estate agent.

Don’t be mistaken, a discounted price doesn’t mean a discounted service. We are a full-service brokerage! Our agents' only job is to focus on you, the client. Our average client keeps an additional $8,100 in their pocket after they sell their home using our low commission model. If you’re interested in hearing more or need any support on any real estate matter, we can be reached at [contact@felixhomes.com](mailto:contact@felixhomes.com) or [615-354-5731](tel:6153545731).

More families are calling Tennessee home. The mild climate, outdoor amenities, low crime rate, and fantastic schools make it a great place to raise a family.

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Best places for families in Tennessee

Top 10 List Of Best Places To Raise A Family In Tennessee

Those looking to buy a home in Nashville have plenty of incredible suburban options. We're here to break down the top 10 best Nashville suburbs of 2021.

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2021 Top 10 List Of The Best Suburbs Of Nashville To Live In

Buying a home can be stressful, emotional, time-consuming, and expensive, especially if it's your first time! Between the realtor commission, [closing costs](https://www.felixhomes.com/blog/a-definitive-guide-to-closing-costs), and moving costs it's no wonder why most people fear the process of buying or selling a home. Believe it or not, some of the most common questions we get asked center around real estate agent commission rates both for the home buyer and seller. For instance, many of our clients ask us - [are commission rates negotiable](https://www.felixhomes.com/blog/are-realtor-commissions-negotiable), who pays the [buyer agent commission](https://www.felixhomes.com/blog/how-does-a-buyers-agent-get-paid), and is a home buyer rebate legal? There's a lot of misinformation on these topics, but we're here to clear the air.

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## What Does A Buyer's Agent Do?

As unconventional as this may sound, the reality is, when it comes to being a real estate agent, buyer agents don't do all that much these days.

### What did a buyer's agent do before the internet?

Rewind the clock 15 or 20 years, and yes, these agents had their hands full working on behalf of the home buyer. They would literally have a big binder filled with properties listed for sale. Nothing was online so if a home buyer wanted to see what inventory was available, they would first call up a realtor who would manually look through their binder and pick a few properties that met the buyer's needs. 

If the potential home buyer was then interested in making an offer on the property, doing a [comparable market analysis](https://www.felixhomes.com/blog/comparative-market-analysis) wasn't as easy as it is today. The same agent would have to seek out all of the recent comps in their binder to manually compute their opinion of the home's value. These old-school agents didn't even have electronic signature software so every time a document needed to be signed by the home buyer meant hopping in their car and driving over to their client. With all this work, buyer agent commission rebates were never brought up until the advent of technology caused a huge shift in the industry.

### What did a buyer's agent do after the internet?

In today's technological age, so much of these manual buyer agent tasks can be accomplished with the click of a mouse, or simply by scrolling on your phone. The internet and apps allow the home buyer to do most of the work! Buyers are able to preselect their 'requirements', and the [home-search website](https://www.felixhomes.com/feed) will automatically show them homes in their desired area that meet these requirements.

If you want 4 bedrooms, there's a filter for that. If you need a two-car garage, there is a filter for that. All you need to do is ask your realtor to unlock the front door so you can see if the pictures live up to the hype! If you're interested in making an offer on a home, your agent can easily do a comparable market analysis to determine what a fair price for the home should be. There is no longer the need to manually compute these critical numbers! **No wonder it's fairly typical for a buyer's agent to rebate a portion of their commission.**

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## Should I Use A Buyer Agent Or Represent Myself?

Don't get us wrong, a buyer's agent is still helpful, and we encourage you to work with one. After all, purchasing a home may be the largest investment you make. It's good to have a professional in your corner to help answer any of the questions you may have and help you negotiate the purchase. But the reality is, in today's technology-driven world, buyer's agents are just not worth 3% of the final sales price. This is why many folks are starting to ask for a home buyer rebate from real estate agents.

## What Is The Buyer Agent Commission?

The buyer agent commission is the fee the agent charges who helps their client (the buyer) with the process of buying a home. In the state of Tennessee, the buyer agent commission is typically 3%. Considering how the internet has allowed the homebuyer to do much of the home searching themselves, the 3% commission seems drastically inflated, right?

## Who Pays The Buyer Agent Commission?

Any rational person would suggest that the seller would pay for the listing agent commission, and the buyer pays the buyer agent commission. This is a big misconception. **As the home seller, you are responsible for paying the agent commission for both the buyer and seller**!

On average, this is a total of 6% of the purchase price in commission fees the seller ends up paying. The buyer's agent gets a 3% fee, and the listing agent would get a 3% fee. On a $400,000 home, that is $24,000 in realtor commission fees. That's a lot of money by any standards.

Just because the buyer does not have to pay out of pocket to use the services of a buyer's agent doesn't mean they are free. A simple economics course would teach you that the buyer's agent commission is factored into the sales price. This is why so many buyers attempt to bypass the services of an agent to get a better price. Luckily, with a home buyer rebate, home buyers can have their cake and eat it too by both saving money thanks to the commission rebate and also benefitting from the experience of a licensed agent.

## What Is A Home Buyer Rebate?

A home buyer rebate is when a buyer's agent gives their client back a portion of their commission they receive from the seller. For first-time home buyers, think of a commission rebate like cash back on a credit card. For instance, if a buyer's agent collected a 3% commission, or $12,000, they may elect to keep $6,000 of that commission and give their client a commission rebate of $6,000. A realtor may decide to do this as a token of appreciation, a simple thank you, or as a way to get more clients! Commission rebates allow agents to compete for a buyer's business, not just on the level of service they provide but also the price they charge for that service. It's a win-win! 

The concept of a buyer's commission rebate has become increasingly popular in recent years as buyers understand that they take on more of the legwork in the home search process. Buyers also understand that as home prices continue to appreciate, especially in the Nashville area, a 3% commission on a $100,000 home in 1980 is a lot less than a 3% commission on a $400,000 home today.

## Can Real Estate Agents Give Part Of Their Commission To Buyers?

In the vast majority of the country (currently 40 of the 50 states), rebates are legal meaning agents are able to give any amount of their commission back to their clients. This unique business model can save home buyers thousands. Many buyers ask for a commission rebate as they realize there isn't a great deal of work that goes into representing them in this modern era. They also understand that the job of a buyer's agent has gotten more efficient through technology and the internet.

### What are the rules in Tennessee?

<p>
Tennessee is one of 10 states that makes it illegal for an agent to give a buyer rebate. As crazy as this sounds, it's the absolute truth. According to the <a rel="nofollow" href="https://www.tn.gov/commerce/regboards/trec.html">Tennessee Real Estate Commission (TREC)</a> and the <a rel="nofollow" href="https://tnrealtors.com/">Tennessee Association of Realtors</a>, an agent is not allowed to give a commission rebate to their client nor are they allowed to directly pay for their client's closing costs. At Felix Homes, we are actively working on fighting for a change to this outdated law by starting a <a rel="nofollow" href="http://chng.it/mQLpfG5tDV">petition</a> that we encourage you to sign.
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### In what other states is it illegal for a buyer's agent to refund their commission?

There are just 10 states that do not allow a buyer rebate. These states are:

- Alaska
- Alabama
- Iowa
- Kansas
- Louisiana
- Missouri
- Mississippi
- Oklahoma
- Oregon
- Tennessee

![Infographic depicting a map of the United States showing the states where a buyer's agent commission rebate is legal](https://felix-homes-assets.s3.us-east-2.amazonaws.com/Graph_Infographic_01_20f83a104d.svg)

Although it's not legal for an agent to give part of their commission to the buyer, the commission rate can still be negotiated. There is no law mandating that the buyer's agent must take 3% of the purchase price as their commission. As a buyer, you should certainly ask your agent to take a lower commission which can make your offer look more appealing to a home seller. While it's not exactly the same as getting cash back on your home purchase, asking your buyer's agent to reduce their commission is in effect the same as a commission rebate.

## Does Felix Homes Offer A Rebate?

Our real estate brokerage believes the Tennessee law making it illegal to give a commission rebate is absolutely crazy! The real estate transaction process is expensive, and many clients save up for years just to have enough money to afford a home. Not only that, commission rebates are legal in 40 out of 50 states.

In Tennessee, instead of offering a cash back style rebate, our process looks a little different. **Instead of requiring the seller to pay a full 3% commission fee when we represent a buyer, we ask for just 1.5%**. Since we are reducing our commission in half, we include language in all of our offers stating that 1.5% must be paid by the seller towards the buyer's closing costs. In practice, this achieves the same thing as a traditional commission rebate. If you plan on purchasing a home for $400,000, you'll end up saving $6,000 off your closing costs. I don't know about you, but that's a meaningful saving. This is a loophole in the law that is completely legal and **we're the only brokerage in Tennessee that does it**!

## How Can Felix Homes Help?

Felix Homes is a Nashville-based [low-commission](https://www.felixhomes.com/blog/low-commission-real-estate-agents-nashville) real estate brokerage. We work with both buyers and sellers and help keep more profit in your pocket on each real estate transaction.

Not only do we charge half the rate on the buy side, we charge a flat [1% commission fee](https://www.felixhomes.com/blog/one-percent-commission-realtor-nashville) when we sell a home for our clients. On average, we help our clients save $8,100 when they choose to list their home with Felix. Our clients are able to save on commissions and use that cash for other important expenses such as a home renovation, family vacation, or downpayment on their dream home!

## Why Do We Charge 1%?

This is such a common question, and we love answering it! The fact of the matter is, we believe technology changed the real estate industry, but traditional realtors are holding onto a higher commission fee for obvious reasons. Many years ago, paying a 6% commission fee may have been appropriate, but in today's world with all the real estate apps, online photos, home search websites, and virtual tours, that fee is no longer needed.

In addition, the average home price in Nashville has skyrocketed. Commissions on a $400,000 are a lot more than what they would be on a $100,000 home. The 6% commission rate has stayed relatively unchanged, but all the variables that make up the rate (effort and price) have changed!

## Above And Beyond

You can expect to pay less when you choose to work with [Felix Homes](https://www.felixhomes.com/), but don't expect any degradation of service. We are a complete, full-service realtor that leverages a talented role-based team to help buy the home that's just right or help you sell your existing home. We have a team of employees, not independent contractors, that handle all of our marketing, photography, social media, and technology, which enables our agents to be 100% focused on you.

If you're in Tennessee and you're looking to buy a home, or interested in selling your current home, contact us. We represent both the buyer and the seller and would be more than happy to help answer any of your real estate questions or needs, provide you with more information, and assist you with any real estate transaction. Drop us a line at [615-354-5731](tel:6153545731) or send us an email at [contact@felixhomes.com](mailto:contact@felixhomes.com).

Tennessee's 1 of 10 states that makes it illegal for a buyer's agent to refund their client any part of their commission. But, now there's a way around the law.

Image of a man packing a moving box with a woman standing next to him holding a notepad and pen

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Buyer agent commission rebate

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