As of writing this on April 12, 2026, the most recent comprehensive Texas housing market data is from the Texas Real Estate Research Center's March 2026 Texas Housing Insight report (covering January 2026 data) and Houzeo's April 2026 Texas market analysis.
The Big Picture: Texas Has Shifted
After years of being one of the hottest real estate markets in the nation, Texas has meaningfully cooled. According to the Texas Real Estate Research Center (TRERC) March 2026 Texas Housing Insight report (TRERC at Texas A&M University, March 2026):
- Active inventory reached 131,420 homes statewide in January 2026 — up 11.2% year-over-year
- Average days on market for unsold inventory climbed to 104 days, up from 97 days in 2025 and 93 days in 2024
- Texas is now above pre-pandemic 2019 active inventory levels — one of only 11 states to have reached this threshold, according to ResiClub Analytics, April 2026
- The statewide median sale price stands at approximately $339,495, down 7.93% from last year, per Houzeo's April 2026 Texas market analysis
The TRERC report noted: "The 2026 market opened with rising seller activity, elevated inventory levels, and persistent pricing pressure as affordability challenges continue to shape buyer demand."
Austin: The Sharpest Correction
Austin was the poster child of pandemic-era appreciation — and it's now experiencing one of the sharpest corrections in the state. According to ManageCasa's 2026 Texas Housing Market analysis:
- Austin average home values are down approximately 3.6% year-over-year heading into 2026 (Zillow average: ~$494,727)
- Inventory is up, days on market are rising, and buyers have negotiating power for the first time in years
- New construction flooded the market during the remote-work migration wave, and supply has been running ahead of demand
- Homeowners insurance cost surges have increased the true cost of ownership even where list prices have dropped
Houston: High Foreclosure Exposure
Houston's market is complex. It has generally maintained stronger demand than Austin due to more affordable price points and continued economic growth. However, it also carries notable foreclosure exposure.
According to ATTOM's July 2025 Foreclosure Report (PR Newswire, August 2025), Houston had one of the worst foreclosure rates among major U.S. metros — one in every 1,882 housing units. Texas also led the nation in foreclosure starts (3,600 in July 2025 alone) and completed foreclosures.
Dallas/DFW: The Most Uneven Market
The Dallas housing market in 2026 shows sharp variation by submarket. Per ManageCasa's analysis, Redfin's median sale price for Dallas sits around $375,000 while Zillow's average home value tracks lower at $301,697 — a gap that reflects significant variation by neighborhood and property type.
According to JVM Lending's 2026 Texas Real Estate Market Forecast, Redfin reported Texas prices were down approximately 2.7% year-over-year in December 2025, with homes taking a median of 85 days to sell statewide — giving buyers meaningful negotiating leverage.
San Antonio: Most Stable of the Major Markets
San Antonio has benefited from more moderate price appreciation during the pandemic boom, which means less correction pressure now. More affordable price points relative to Austin and Dallas have kept demand more stable. However, Bexar County property tax increases have still pushed carrying costs higher for long-term owners.
What This Means for Texas Sellers in 2026
The data points to a clear picture: Texas has shifted from a seller's market to a buyer's market in many submarkets, particularly Austin and parts of DFW. For sellers, this means:
- Homes priced at peak-era values are sitting — often for 100+ days
- New construction competition is real, particularly in suburban markets
- Rising inventory gives buyers options and negotiating power they didn't have in 2021-2022
- Insurance and property tax cost increases have compressed net proceeds even for sellers who achieve list price
For sellers who need speed, certainty, or are dealing with properties that need work, a direct sale through a buyer network continues to be a competitive alternative to months on market with carrying costs accumulating.
Tallbridge serves sellers across Austin, Houston, Dallas/DFW, San Antonio, Round Rock, Georgetown, Killeen, and Waco. Get your offer here.
Sources
- Texas Real Estate Research Center — Texas Housing Insight, March 2026
- Houzeo — Texas Housing Market 2026 Analysis, April 2026
- ResiClub Analytics — State Inventory Update, April 2026
- ManageCasa — Texas Housing Market 2026 Guide
- JVM Lending — Texas Real Estate Market Forecast 2026
- ATTOM — July 2025 U.S. Foreclosure Market Report