Mill Run, a neighborhood in Nashville, Tennessee, has experienced significant changes in its real estate market over the past decade. The area has seen a notable increase in homeownership rates and consistent growth in average home prices. From 2019 to 2022, the homeownership rate in Mill Run rose from 72% to 83%, coinciding with a substantial increase in average home prices. During this period, the average home price surged from $280,571 to $424,527, representing a 51% increase in just three years. This trend suggests that despite rising prices, more residents were able to purchase homes, possibly due to favorable economic conditions or increased desirability of the neighborhood.

Federal interest rates have played a crucial role in shaping homeownership trends in Mill Run. In 2019, when the federal interest rate was 2.16%, the homeownership rate stood at 72%. As interest rates dropped to 0.38% in 2020 and 0.08% in 2021, homeownership rates increased to 85% and 89% respectively. This aligns with the established trend that lower interest rates generally encourage homeownership due to more affordable financing options. However, even as interest rates began to rise in 2022 to 1.68%, the homeownership rate remained relatively high at 83%, indicating that other factors may also be influencing homeownership in the area.

The rental market in Mill Run has shown interesting trends in relation to homeownership rates. As the percentage of renters decreased from 28% in 2019 to 17% in 2022, average rent prices experienced fluctuations. In 2019, the average rent was $1,753, which decreased slightly to $1,710 in 2020, possibly due to the economic impacts of the COVID-19 pandemic. However, average rent rebounded to $1,715 in 2022. Despite the decrease in the proportion of renters, rent prices have remained relatively stable, suggesting a continued demand for rental properties in the area.