37890
Morristown, Tennessee

The Morristown 37890 market has softened considerably, with the median sale price settling at $267,650 after declining 2.7% year-over-year through February 2026. Inventory is absorbing slowly at 100.5 days on market, while only 14% of sales close above asking price—indicating minimal competition among buyers. This price compression follows a broader cooling pattern across secondary Tennessee markets as affordability constraints and elevated mortgage rates reduce transaction velocity.

Cost-conscious first-time buyers gain negotiating leverage in this environment, with 86% of homes selling at or below list price and extended market times forcing seller concessions. Investors seeking cash-flowing rentals may find entry points 2.7% lower than last year, though the 100-day absorption rate suggests careful property selection matters more than bulk acquisition. Sellers with equity buffers and flexible timelines can still transact, but those requiring quick exits face meaningful pricing pressure.

The PropIQ score of 51 signals caution rather than distress, suggesting sideways price action rather than sharp further declines. Monitoring the days-on-market trend matters most—any extension beyond 110 days would indicate accelerating weakness, while compression below 90 days could mark stabilization. The 14% above-ask metric serves as the leading indicator for demand recovery; sustained movement above 25% would confirm a sentiment shift supporting price appreciation.