As of writing this on April 12, 2026, the data here references the Texas Real Estate Research Center's March 2026 Texas Housing Insight report, JVM Lending's 2026 Texas Forecast, ATTOM's 2025 foreclosure data, and Builder Magazine's December 2025 Texas market analysis.

Houston: Affordable, But Watching Foreclosure Closely

Houston is one of America's most affordable major metros — and one of its most complex real estate stories in 2026. Here's what the numbers show:

Per JVM Lending's 2026 Texas Forecast (JVM Lending, March 2026):

Per the TRERC March 2026 Texas Housing Insight (Texas A&M University, March 2026), Houston entered 2026 with year-over-year price declines widening to 1%, and Houston-area sales fell 3.9% year-over-year in January 2026 — the smallest decline among major Texas metros.

Houston's Foreclosure Exposure

Beyond price softness, Houston carries notable foreclosure activity that sellers need to understand. According to ATTOM's July 2025 U.S. Foreclosure Market Report (PR Newswire, August 2025):

Analysts note that rising insurance costs in Texas — particularly in Houston's flood-prone areas — have pushed total housing costs higher even for owners with stable mortgage payments. This insurance pressure is a contributing factor to Houston's elevated foreclosure activity.

Houston flood zone reality: Houston's history with Harvey and subsequent flooding events has driven homeowners insurance premiums significantly higher in many zip codes. For sellers in affected areas, this affects buyer affordability calculations and is a factor worth disclosing and discussing openly with any buyer.

San Antonio: The Most Stable Major Texas Market

San Antonio stands out among Texas metros as the most stable market in 2026 — and the data backs this up.

Per JVM Lending's analysis (JVM Lending, March 2026):

Per TRERC's data, San Antonio-area sales dropped 9.9% year-over-year in January 2026 and prices declined approximately 2.5% year-over-year — a steeper correction than Houston but from a lower price base that has historically attracted steady demand.

Builder Magazine's December 2025 analysis (Builder Magazine, December 2025) called San Antonio "the most stable market in Texas" — noting it's "the only major Texas market where job growth has been trending upward year over year" and "a majority of the homes in the market are priced below $400,000."

What This Means for Houston and San Antonio Sellers

For Houston sellers: The market has softened meaningfully from its peak. Homes at $335,000 median are still moving — but taking 70 days on average, and buyers are negotiating. Sellers with properties in flood zones or with deferred maintenance face additional challenges. For time-sensitive situations or distressed properties, a direct cash buyer bypasses the retail buyer's financing and insurance-related hesitations.

For San Antonio sellers: The relative stability is good news — but "stable" at 81 days on market and 25% price drop rates still means months of waiting. San Antonio's affordability actually makes it more attractive to investors, which is why our buyer network has strong interest in the market.

Tallbridge serves sellers across Houston, Katy, Pearland, Sugar Land, San Antonio, New Braunfels, Schertz, and throughout both metros. Get your offer here.

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