Published October 4, 2026 in Market Update

One part of Sioux Falls is moving fast even with rates above 7%

By Michelle Maloney

Real estate, Sioux Falls (DOTW)

Freddie Mac put the average 30-year fixed rate at 7.28% on October 1, 2026. That is the headline number every buyer and seller is watching. But in ZIP 57105, buyers are still moving fast. The Real Estate Data Aggregator counted 50.8% of homes going under contract within two weeks of listing, for the three months ending July 31, 2026. That figure was up 4.3 points from the same months of 2025.

Rates topping 7% matter. Realtor.com reported that mortgage rates topped 7% for the first time since January 2025, and that 20.8% of listings nationally took a price cut in September, the highest share since October 2022. Sioux Falls is not immune to that pressure. But the numbers in 57105 tell a different story than the national one.

ZIP 57105: the quickest corner of Sioux Falls

The Real Estate Data Aggregator put the median days on market in 57105 at just 15 days for the three months ending July 31, 2026. That was 19 days shorter than the same stretch of 2025. Homes are not sitting. For sellers, good prep and honest pricing still drive results. For buyers, 15 days is not much runway.

The median sale price in 57105 did dip. The Real Estate Data Aggregator put it at $275,000, down 7.4% from the same three months of 2025. That is worth being honest about. Prices softened even as speed picked up. The two things can happen at the same time, and here they did.

Still, the Real Estate Data Aggregator counted 114 homes sold in 57105 over those three months, up 11.8% from a year before. Pending sales came in at 126, up 24.8%. Buyers are showing up, even with a 7.28% rate.

The Real Estate Data Aggregator put the average sale price at 98.2% of list price in 57105. That is nearly full ask. It was down just 0.1 points from a year before. Price your home right and you will still get close to what you asked.

How 57105 compares with 57106 and 57108

Not every ZIP in Sioux Falls moves at the same pace. Here is how the three areas stacked up for the three months ending July 31, 2026, according to the Real Estate Data Aggregator.

ZIP 57106 had the highest sale-to-list ratio, at 99.1%, per the Real Estate Data Aggregator. Its median price was $335,000, up 0.9% from a year before. Days on market came in at 22, which was 16 days shorter than the same period of 2025. A solid market, just not as quick as 57105.

ZIP 57108 had the highest median price, at $420,500, up 8.5% year over year, according to the Real Estate Data Aggregator. But homes there took a median of 32 days to sell. Pending sales were down 13.3% from a year before. More supply, more time. The Real Estate Data Aggregator put months of supply at 3, up 0.1 months from 2025.

The wider picture: rates and national inventory

Nationally, Realtor.com reported active listings grew 5.5% year over year, topping 1.16 million homes for sale. More supply nationally has not stopped buyers in 57105 from moving fast locally. The Federal Housing Finance Agency reported U.S. house prices rose 2.6% from July 2025 to July 2026. Sioux Falls is not a single number, though. Each ZIP reads differently.

The Freddie Mac 15-year fixed rate averaged 6.60% on October 1, 2026. Some buyers use that to lower their monthly cost. It does not change the pace on the ground in 57105, where the Real Estate Data Aggregator shows buyers already committed.

One more thing worth knowing: the Real Estate Data Aggregator counted 525 homes sold across ZIPs 57105, 57106 and 57108 together for the three months ending July 31, 2026, up 2.1% from a year before. The overall market is moving, just not all at the same speed. One street can read very differently from the ZIP code around it. If you want to know what your block looks like, send me your address.