Published October 15, 2026 in Market Update

South metro listings are up, but buyers are still showing up

By Austin Eaton | The Eaton Group

Real estate, South Metro

More homes hit the market locally this summer. Buyers still showed up. Inventory across the south metro rose 23.4% from a year ago, and sales rose 13% in the same stretch. That means more choices for buyers and more competition for sellers, but demand remains steady. The Real Estate Data Aggregator counted these for the three months ending August 31, 2026.

Inventory rose faster than demand, and that is real. But pending sales were still up 9% from a year ago, according to the Real Estate Data Aggregator. Buyers are choosing from more homes, not sitting out.

What rates are doing to the picture

Rates are not helping. CNBC reported the average contract rate on a 30-year fixed mortgage hit 7.49% last week. Fannie Mae, as reported by CNBC, is forecasting that rate averages 7.4% for the fourth quarter of 2026 and 7.5% through all of 2027. That is a real headwind for buyers who need to borrow.

Nationally, Realtor.com reported that 20.8% of listings had a price cut in September 2026, the highest share since October 2022. That is a national number. The south metro is not the national market, but it is a sign that sellers everywhere are feeling more pressure to price carefully.

How each ZIP code read

The story is not the same in every corner of the south metro. Some ZIPs are moving fast. Some are sitting longer. Here is what the Real Estate Data Aggregator counted for the three months ending August 31, 2026.

Where buyers moved fastest

Eagan stood out. The Real Estate Data Aggregator counted a median of 19 days on market there, and homes sold at 101.3% of list on average. Nearly half of homes, 47.7%, sold above asking. Inventory actually fell 13.2% from a year ago, so buyers had fewer choices and competed harder.

Burnsville was also quick. The Real Estate Data Aggregator counted a median of 23 days on market there, and pending sales rose 20.1% from a year ago, the biggest gain of any ZIP in the group. Supply actually ticked down 0.3 months from a year ago, to 2.1 months.

Where prices dipped a little

Prices were not up everywhere. The Real Estate Data Aggregator showed the median sale price in Rosemount (ZIP 55068) fell 4.7% from a year ago, to $429,000. Burnsville (ZIP 55337) was down 2%, to $375,000. Apple Valley (ZIP 55124) was down 1.4%, to $379,450. These are not big drops, but they are worth knowing if you are pricing a home in those areas.

Lakeville (ZIP 55044) held the highest median at $539,450, up 1.8% from a year ago. Eagan (ZIP 55122) was up 2.4%, to $380,909. The Federal Housing Finance Agency reported U.S. house prices rose 2.6% from July 2025 to July 2026, so some of these ZIPs are running below that national pace.

What this means if you are selling

More listings mean buyers have real choices now. That is different from two years ago. Homes are still selling, and most are selling close to or above list. But the share of homes selling above list is down in most ZIPs compared to a year ago. Pricing right matters more than it did.

In Lakeville, the share of homes that sold above list dropped 5.5 points from a year ago, to 28.3%. In Farmington, it fell 7.3 points, to 30.1%. In Rosemount, it fell 7.6 points, to 23.9%. Those are honest signals that buyers have a little more room to push back.

What this means if you are buying

You have more to look at. That is real. In Apple Valley, inventory jumped 67.3% from a year ago. In Farmington, it rose 39.5%. More choice does not mean prices are falling off a cliff. But it does mean you are less likely to find yourself in a bidding war with five other buyers on day one.

Rates are still high. CNBC reported the average 30-year fixed rate at 7.49% recently. That shapes what you can afford. Know your number before you start comparing homes.

One more honest note

These numbers are by city. But a city covers a lot of ground. One street can read very differently than a whole city. A home near a busy road, a school boundary line, or a price tier can have its own story. I'm here to help you sort through what matters for your situation. Reach out and we'll talk through what these numbers mean for you.