Knoxville vs. National Housing Price Forecasts: What to Expect in the Next Decade

If you’re wondering what the future holds for Knoxville’s home values, you’re not alone. Moody’s recently released their housing market forecast, offering a detailed look at local and national trends from now through 2035. Here’s what you need to know:

Knoxville, TN: Moody’s Home Price Forecast

• 2025: -0.9%

• 2026: -0.7%

• 5-Year (2025-2030): +3.4%

• 10-Year (2025-2035): +8.9%

This data predicts a modest dip in home prices over the coming two years, with a gradual return to growth. At the decade mark, Moody’s expects Knoxville’s home prices to be up almost 9% from where they stand in December 2025.

How Does Knoxville Compare to National Projections?

National forecasts from Moody’s and other analysts offer a more optimistic picture:

• 2025: Most national sources expect home values to either hold steady or rise slightly (roughly +0.5% to +3%).

• 2026: Continued modest growth is anticipated (+1% to +4%).

• 5-Year Outlook: Nationally, home prices are projected to climb between 10% and 15% by 2030.

• 10-Year Outlook: Though exact long-range numbers vary, many expect a cumulative gain of 15% or more across the U.S.

Knoxville vs USA Home Price Forecast Comparison (2025-2035)

A Note of Caution on Forecasts

It’s important to remember: Financial forecasts looking out even one year can be notoriously tricky to get right-let alone those stretching out a full decade. With any long-term prediction like this, a healthy dose of skepticism is wise. Treat these projections as helpful guidance, not as guaranteed outcomes or destiny.

Key Takeaways for Knoxville Homeowners and Buyers

• Short-term softness: Knoxville is expected to see minor price decreases in 2025 and 2026, while most of the U.S. should experience modest gains.

• Long-term stability: While local home price growth is likely to trail national averages, values in Knoxville are still projected to rise over the next 5 to 10 years.

• A normalized market: After years of dramatic swings, a slower pace of appreciation may signal a return to stability-good news for both buyers seeking affordability and sellers looking for predictable returns.

Thinking about buying, selling, or investing in Knoxville real estate? Reach out for the latest neighborhood-level insights or to discuss your options in today’s evolving market.

Data and forecasts sourced from Moody’s Analytics via ResiClub Analytics (resiclubanalytics.com).