As summer winds down and we head into fall, the Smoky Mountain housing market is showing some interesting shifts.
Whether you’re a homeowner, an investor, or thinking about buying your first property in the mountains, here’s what you need to know about where things stand as of August 2025.
Sales Are Slowing Down
Residential sales reached a high point in April with 87 homes sold, but activity has tapered since then. In August, 74 homes closed, which is about a 15% drop from the spring peak.
At the same time, properties are spending longer on the market. The average home took 108 days to sell in August, nearly twice as long as earlier this year. This tells us buyers are being more cautious, taking their time to make decisions.
Prices Are Holding Strong
Even though sales volume has slowed, home values remain steady.
- The average residential price in August was $714,000.
- Single-family homes averaged $745,000, one of the strongest months this year.
This is good news for sellers: buyers may be slower to act, but they’re still willing to pay for properties in desirable locations with strong rental or lifestyle appeal.
Single-Family Homes
This segment continues to drive the market:
- 65 homes sold in August
- Average price: $745,000
- Price per square foot holding steady at $347
Condos
Condo sales remain a smaller portion of the market — only 5 closings in August — but the average price rose to $426,600. Condos are attracting fewer buyers right now, but when they do sell, they’re often closing at higher price points than earlier in the year.
Land
Vacant land continues to be the softest segment. In August, 22 lots sold, and average prices bounced between $112K–$146K over the past few months. Investors seem cautious about land purchases, likely due to rising building costs and longer timelines.
What This Means for You
- For Sellers: Expect longer timelines. Homes are sitting on the market for a few extra months compared to earlier this year. The good news? Prices are still strong, especially for well-located, well-maintained properties.
- For Buyers: With homes taking longer to sell, you may have more breathing room to negotiate and consider your options. While prices remain firm, you won’t feel the same urgency as in previous years.
- For Investors: The single-family home market remains the safest bet for short-term rentals in the Smokies. Condos and land carry more risk in today’s market, but the right location and amenities can still deliver strong returns.
The Bottom Line
The Smoky Mountain real estate market is cooling in pace, not in price. Fewer properties are selling, and homes are taking longer to move, but values remain steady.
As always, location and amenities are key. A well-situated home near Gatlinburg, Pigeon Forge, or Sevierville will continue to hold value and adding guest-friendly features like hot tubs, game rooms, or mountain views will make your investment stand out.
If you’re considering buying or selling in the Smokies, now is the time to have a clear strategy. Our team has been guiding clients through every type of market since 1996, and we’d love to help you make your next move with confidence.
Ready to explore your options? Contact us today to talk about the opportunities waiting in the Smoky Mountains!