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Q2 2026 Market Pulse Survey Results

The Market Pulse Survey is a poll of licensed real estate professionals and members of the East Tennessee REALTORS®. The Q2 2026 iteration of the survey was conducted online from July 1-July 17, 2026, and received a total of 126 responses.

Key Findings

Respondents are more cautious about the market than they were a year ago. Fewer expect buyer traffic, home sales, and home prices to increase over the next year, while expectatations for seller traffic remain unchanged.

More buyers were former renters or relocating for work compared to last year.

Competition remained steady, although fewer buyers waived the appraisal contingency than last year.

Contracts meeting or exceeding appraisal went from 97% last year to 93% this year, suggesting buyers may have slightly more negotiating flexibility than they did a year ago.

More respondents reported working with multiple active buyers, with 39% currently assisting three or more buyers, up from 34% last year.

Open-format responses about customer feedback indicate that consumers are adapting to current interest rates and are no longer waiting for rates to decline before purchasing a home. Many members commented that this shift in buyer behavior has contributed to increased market activity.

Market Outlook Q2 2026 Q2 2025
Percent who expect seller traffic to increase in next 3 months 35% 35%
Percent who expect buyer traffic to increase in next 3 months 20% 27%
Percent of respondents who expect home sales to increase over the next year 36% 44%
Percent of respondents who expect home prices to increase over the next year 45% 58%
 

Buyer and Seller Trends

Q2 2026 Q2 2025
Percent of sellers moving somewhere else in current city/county 33% 46%
Percent of sellers moving somewhere else in Tennessee 31% 14%
Percent of sellers moving to a different state/outside of Tennessee 35% 39%
Percent of buyers moving due to relocation (such as for business or a job change) 18% 11%
Percent of buyers who were previously renting 33% 28%
Percent of buyers who are repeat homebuyers 77% 80%
 

Other Market Indicators

Q2 2026 Q2 2025
Percent of buyers who waived at least one contingency 62% 62%
Percent of buyers who waived inspection contingency 7% 6%
Percent of buyers who waived appraisal contingency 11% 17%
Percent of contracts where appraised value met or exceeded the contract price 93% 97%
Percent of contracts in the past 3 months that were terminated 3% 0%
Percent of contracts in the past 3 months that had delayed settlement 14% 14%
Percent of contracts in the past 3 months that closed/settled on time 83% 86%
Percent of respondents who have worked with an investor buyer in the past three months 38% 26%
Percent of first-time buyers 23% 20%
Percent of respondents currently working with 3+ clients actively/seriously looking to purchase 39% 34%
 

Anecdotal responses (Edited for clarity)

"I believe the public is accepting the 6-6.5% interest rate as the new normal. They are no longer waiting on rates to drop to purchase."

"In the past 3 months there has been an increase in buyer and seller activity but it is normal for the 2nd quarter in this market."

"AI is giving clients more access to information, not all of which is accurate"

"Sellers don't want to lose the lower interest rates."

 

Source: East Tennessee REALTORS®

Note: Estimates based on East Tennessee REALTORS® quarterly Market Pulse Survey and MLS data.
For questions about the survey or its contents, please contact Maria McHale at maria@etnrealtors.com.

About the Survey

  • The Market Pulse Survey gathers on-the-ground information about local market conditions from members of East Tennessee REALTORS® based on their client interactions and real estate transactions in the previous three months.
  • The Market Pulse Survey is provided by East Tennessee REALTORS® solely for use as a reference. Reproduction, reprinting or retransmission in any form is prohibited without written permission.
  • Media inquiries about the survey should be directed to communications@etnrealtors.com.

Data Attribution: You are welcome to use or reproduce this survey data for your own purposes, but we ask that you attribute any full or partial use of the data to East Tennessee REALTORS® and include the time period when the survey was conducted.

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