Published October 5, 2026 in Market Update

Primary market sales rose even with mortgage rates above 7%

By Nashvilles Nik!

Real estate, Primary market

Here is the one thing every homeowner should know right now. Rates are above 7%, and people are still buying. That means demand is real, but pricing and preparation matter more than ever.

Freddie Mac put the 30-year fixed rate at 7.28% as of October 1, 2026. CNBC reported the average contract rate on 30-year conforming loans rose to 7.30% that same week. Rates crossed 7% in late September for the first time since January 2025, according to Realtor.com. Higher payments are real. They have not stopped deals here, but they have slowed the pace of quick decisions.

Sales still climbed across the Primary market

The Real Estate Data Aggregator counted 6,250 homes sold across the Primary market in the three months ending July 31, 2026. That is up 5.2% from the same months of 2025. So what does that mean for you? Buyers are still out there. The market has not frozen. But with 9,613 homes for sale, up 2.7%, buyers have more to choose from than they did a year ago. That gives them a little more room to be choosy.

Nationally, the National Association of Realtors reported existing-home sales were up 1.6% year-to-date through the first eight months of 2026. Our Primary market outpaced that at 5.2% growth. That is a good sign for local sellers. Still, the National Association of Realtors also put the national months' supply at 4.9 months, the highest in over ten years. Buyers have options. Price your home honestly.

How each ZIP code looked

The story is not the same in every corner of the market. Some ZIP codes saw big sales jumps. Others slowed. Here is a look at median sale prices across all 20 ZIP codes in the three months ending July 31, 2026.

Where prices moved the most

Some ZIP codes saw meaningful price gains. ZIP 37027 led the market. The Real Estate Data Aggregator put the median sale price there at $1,310,000 in the three months ending July 31, 2026, up 15.4% from a year before. ZIP 37203 rose 14.9%, to a median of $632,000. ZIP 37066 climbed 12.6%, to $485,000. Those are real gains, and they happened while rates were rising.

Not every ZIP moved up. The Real Estate Data Aggregator showed ZIP 37122 dipped 1.8%, to a median of $589,900. ZIP 37862 slipped 2.2%, to $616,250. ZIP 37129 eased 2.1%, to $471,000. Small dips like those are honest, and they remind us that the market is not moving in one direction everywhere.

Sales volume: who sold more and who sold less

ZIP 37129 had the biggest jump in homes sold. The Real Estate Data Aggregator counted 324 sales there, up 36.7% from a year before. ZIP 37876 was close behind, with 201 sales, up 35.8%. ZIP 37738 rose 30.1%, to 121 sales. ZIP 37862 gained 27.7%, to 175 sales. Those are strong moves.

On the other side, ZIP 37040 saw 323 sales, down 9.8%. ZIP 37207 fell 8%, to 150 sales. ZIP 37211 edged up just 2.4%, to 251 sales. So the overall market grew, but not every ZIP shared equally in that growth.

How long homes are sitting

Days on market crept up in most ZIP codes. That is the honest truth about a 7%-rate world. Buyers take a little longer to decide. The Real Estate Data Aggregator showed ZIP 38401 at 78 days on market, 18 days longer than a year before. ZIP 37862 sat at 83 days, 8 days longer. ZIP 37066 reached 71 days, 17 days longer.

A few ZIP codes bucked that trend. ZIP 37876 came in at 59 days, 20 days shorter than a year before. ZIP 37738 dropped to 62 days, 8 days shorter. ZIP 37203 fell to 82 days, 8 days shorter. Those ZIP codes moved faster even in a tough rate environment.

What buyers paid versus what sellers asked

Most ZIP codes still closed near list price. That says sellers who priced right got paid. ZIP 37129 averaged 99.4% of list price, according to the Real Estate Data Aggregator. ZIP 37128 averaged 99%. ZIP 37042 and 37066 each came in at 98.9%. Those are solid numbers at 7% rates.

ZIP 37738 averaged 95.7% of list price. ZIP 37862 averaged 96%. ZIP 37203 averaged 96.8%. Those ZIP codes had more negotiating room. If you are in one of them, your list price matters even more.

The Federal Housing Finance Agency reported U.S. house prices rose 2.1% year over year between the second quarter of 2025 and the second quarter of 2026. Several ZIP codes in the Primary market beat that national figure, which tells a good local story.

Supply: more choices for buyers in some spots

The Primary market had 9,613 homes for sale in the three months ending July 31, 2026, up 2.7% from a year before, per the Real Estate Data Aggregator. New listings dipped 1% overall. That means inventory is growing mostly because homes are taking longer to sell, not because a flood of new sellers arrived.

ZIP 37203 stood out with 13 months of supply, up 2.8 months from a year before. ZIP 37738 had 12 months. ZIP 37876 had 10.4 months, though that dropped 3.9 months from last year. Those are buyer-friendly conditions. ZIP 37128 had just 3.3 months of supply. ZIP 37064 had 3.6 months. Those ZIP codes still lean toward sellers.

Homes that went under contract fast

Even with rates above 7%, some homes moved quickly. The Real Estate Data Aggregator showed 33.5% of homes in ZIP 37064 went under contract within two weeks of listing. ZIP 37129 was at 31.1%. ZIP 37209 hit 30.1%, and ZIP 37207 and 37027 each reached 29.7%. Well-priced homes in the right spot still found buyers fast.

ZIP 37862 was at 17.5%, and ZIP 37203 at 18.8%. Those ZIP codes saw slower quick-contract rates. Sellers there need patience and a sharp price.

One more thing worth knowing. The numbers above cover whole ZIP codes. One street can read very differently from the ZIP code around it. A block with newer homes, a school nearby or a quieter road can move faster and closer to list price than the ZIP code average suggests. The reverse is also true.