Published October 25, 2026 in Market Update

More listings gave Sioux Falls buyers a bit more room this summer

By Michelle Maloney | Maloney Real Estate

Real estate, Sioux Falls (DOTW)

Here is the one thing that matters most right now. The Real Estate Data Aggregator counted 575 new listings across Sioux Falls ZIP codes 57105, 57106 and 57108 in the three months ending August 31, 2026. That is up 13.2% from the same months of 2025. More supply means buyers have options. And when buyers have options, price is the first thing they compare.

At the same time, Realtor.com reported that active listings nationally topped 1.16 million homes for sale in September 2026. Sioux Falls is moving with that national tide, not against it.

Sales held up even as inventory grew

More listings did not stall the market here. The Real Estate Data Aggregator counted 482 homes sold across the three ZIP codes in the three months ending August 31, 2026. That was unchanged from the same period a year before. Buyers showed up. They just had a little more to choose from.

Pending sales across the three ZIP codes came in at 417, up 0.2% from a year before, according to the Real Estate Data Aggregator. Demand is still there. It is just not as urgent as it once was.

Each ZIP code tells its own story

The three ZIP codes moved differently this summer. That is worth knowing before you pick a price.

ZIP 57105 moved fastest. The Real Estate Data Aggregator put the median days on market there at just 15 days, six days shorter than a year before. Homes sold in volume too: 124 closed sales, up 21.6% from a year before. The price dipped, though. The median sale price in 57105 was $265,500, down 11.5% from the same months of 2025. More homes sold, and they sold quickly, but sellers gave a little more ground on price.

ZIP 57106 was the steadiest of the three. The Real Estate Data Aggregator counted 205 homes sold there, with a median price of $330,000, down just 2.9% from a year before. Days on market held at 28, unchanged from 2025. The sale to list price came in at 99%, also per the Real Estate Data Aggregator. That is a calm, consistent market.

ZIP 57108 saw the strongest price growth. The Real Estate Data Aggregator put the median sale price at $414,900, up 9.2% from a year before. Months of supply rose to 3.6, up 0.6 months from 2025. Homes took a median of 29 days to sell, 10 days shorter than a year before. Prices went up and homes moved faster. That is a notable combination.

Rates climbed back above 7%

Here is the backdrop for all of this. Freddie Mac reported the average 30-year fixed rate at 7.32% as of October 22, 2026. Realtor.com noted that rates climbed above 7% for the first time since January 2025. That affects what buyers can afford, and it affects how many buyers are in the room when your home hits the market.

Nationally, Realtor.com reported that price cuts hit 20.8% of listings in September 2026, the highest share since October 2022. Sioux Falls is not immune to that pressure. In 57105, the share of homes selling above list price fell 8 points from a year before, per the Real Estate Data Aggregator. In 57106 it fell 3 points. Pricing right the first time matters more than it did last year.

What this means for you

If you are selling, more competition on the market means your price has to earn attention from the first day. The Real Estate Data Aggregator shows that 42% of homes in 57105 went under contract within two weeks of listing. In 57106 that share was 36.7%, and in 57108 it was 34%. The homes that moved fast were priced to move.

If you are buying, you have a little more room than last year. The Real Estate Data Aggregator counted 440 homes for sale across the three ZIP codes, up 9.7% from a year before. That is not a flood of inventory, but it is more breathing space than Sioux Falls buyers had in the summer of 2025.

One last thing. These numbers cover whole ZIP codes. One street, or even one block, can read very differently from the ZIP code average. If you want to know what the numbers look like for your specific address, just reach out.