Memphis, TN 38127 Real Estate Market Report

ZIP Code: 38127
Report Date: February 2026
Market Temperature: NEUTRAL
Scope: Single-Family Residential (SFR) listings and comps only

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Executive Overview

As of February 2026, the real estate market in Memphis, TN (ZIP: 38127) is characterized by a median sold price of $95,000, reflecting a market that has seen a divergence in pricing trends. The neighborhood has decreased 8% since 2022, indicating a softening in market conditions. This decline in sold prices, coupled with a median days on market of 184, suggests a slower sales velocity and potential pricing friction as buyers adjust to current market realities.

The current landscape shows elevated inventory levels, with a notable gap between the median listing price of $105,900 and the median sold price. This discrepancy may indicate seller expectations that are not aligning with buyer willingness to pay, contributing to an excess supply relative to sales activity. Additionally, elevated interest rate pressure is impacting buyer sentiment, further extending the time properties remain on the market and contributing to a neutral market temperature overall.

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Market Overview

This analysis is based on a sample of properties from this ZIP code (up to 200 sold properties and up to 100 active properties). The median prices below are calculated from all available properties in the sample, while trend analysis uses properties from the selected analysis window.

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Market Metrics

Note: The property counts shown above represent only the properties analyzed in this report sample, not the total inventory for this ZIP code. Median prices are calculated from all available properties in the sample, while trend analysis uses properties from the selected analysis window.

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Rental Market

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Property Taxes

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Liquidity & Velocity

Note: A Sale-to-List Ratio near 100% can occur when properties sell at or near their final listing price after price adjustments during the listing period, even when initial listing prices differ significantly from sale prices.

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Market Trends & Context

Understanding Market Temperature

A Neutral market indicates balanced conditions where neither buyers nor sellers have a strong advantage, typically characterized by flat price trends, extended but stable days on market, and moderate inventory relative to sales.

Current Mortgage Rate Context

Market-level mortgage rate comparison for this area:

Current 30-year fixed mortgage rates in the Memphis, TN market are averaging around 6.1% to 6.4%, which is notably lower than the 6.87% average seen one year ago, presenting a favorable refinancing comparison for recent 2026 loan originations.

Note: Interest rate comparisons provide market context. The existing "Interest Rate Pressure" metric above shows the qualitative market impact.

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Key Findings

1. The median sold price of $95,000 indicates a market experiencing down trends in pricing since 2022.

2. With a median days on market of 184, properties are taking longer to sell, suggesting slower sales velocity.

3. The median listing price of $105,900 reflects a significant gap compared to the median sold price, indicating potential pricing friction in the market.

4. Current interest rate pressure is elevated, which may be affecting buyer activity and overall market dynamics.

5. The market temperature remains neutral, suggesting a balanced environment despite the challenges presented by elevated inventory levels.

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Notable Properties

The following 8 properties represent notable market examples and recent transactions that illustrate key market dynamics. These are illustrative examples selected for their significance (top sales, market benchmarks, quick sales) and are not the basis for the statistical calculations shown above.