Knox County Real Estate Market Report: Q4 2025
Comprehensive analysis of the Knox County/Knoxville area housing market for Q4 2025. Sales data, pricing trends, and expert insights for buyers and sellers.
Published: November 18, 2025 | By Tracy Southard
Executive Summary
Knox County's real estate market finished Q4 2025 in balanced conditions with steady activity across diverse price points. The median home price reached $295,000, up 3.8% year-over-year, reflecting sustainable appreciation after the rapid gains of 2020-2022. Sales volume totaled approximately 1,850 transactions, moderately below last year's 2,015 sales but healthy given higher interest rates.
Inventory improved to 3.2 months of supply, up from 1.8 months in Q4 2024, providing buyers more options without flooding the market. Homes spent an average of 35 days on market, up from 25 days last year, indicating a more measured pace. West Knox and Farragut remained highly competitive, while other areas offered buyers more negotiating power.
Key Metrics
| Metric | Q4 2025 | Q3 2025 | Change | Q4 2024 | YoY |
|---|---|---|---|---|---|
| Median Home Price | $295,000 | $290,000 | +1.7% | $284,000 | +3.8% |
| Avg. Days on Market | 35 | 31 | +13% | 25 | +40% |
| Homes Sold | 1,850 | 2,045 | -9.5% | 2,015 | -8.2% |
| Inventory (months) | 3.2 | 2.6 | +23% | 1.8 | +78% |
| List-to-Sale Ratio | 97.8% | 98.5% | -0.7% | 99.5% | -1.7% |
Market Analysis
Knox County's market showed remarkable consistency through Q4 2025. At $295,000 median price, appreciation continues at a sustainable 3.8% annually—healthy growth without bubble-like increases. The market has clearly transitioned from the seller-dominated environment of recent years to a balanced market where both buyers and sellers can achieve their goals with proper strategy.
West Knox and Farragut ZIP codes maintained premium pricing and faster sales, driven by school quality and desirable amenities. Downtown Knoxville condos and townhomes attracted young professionals and empty nesters. North, East, and South Knox offered more affordable entry points, appealing to first-time buyers and value-conscious purchasers.
Expert Analysis from Tracy
"Knox County's size and diversity mean there's always activity somewhere. While overall sales are down from peak years, that's largely due to higher interest rates reducing move-up buyers. First-time buyers and relocations from out-of-state continue driving demand. West Knox and Farragut stay competitive—good homes still get multiple offers. Other areas have calmed, giving buyers breathing room."
"My Q4 was busy despite seasonal slowdown. Sellers who priced correctly got offers within 30 days. Those who overpriced sat through the holidays and are now reducing prices. The market rewards those who understand current conditions and penalizes those fighting reality. That's where local expertise matters—I know what homes are actually selling for, not what sellers wish they'd get."
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Get in TouchAbout the Author: Tracy Southard is a licensed real estate agent specializing in Knox County with over 600 successful transactions.
Published: November 18, 2025