The Texas housing market is continuing to shift into a more balanced phase, giving buyers more leverage while forcing sellers to be more strategic.
In its April 2026 Texas Housing Insight, the Texas Real Estate Research Center points to a market that is no longer defined by the extreme seller advantage of prior years. Inventory is rising, homes are taking longer to sell, price cuts are becoming more common, and buyers are gaining more room to negotiate.
Statewide, Texas recorded 22,596 closed sales, down 2.2 percent year over year. At the same time, there were signs that buyer demand had not disappeared. Pending sales rose 6.7 percent year over year, suggesting that some buyers were still stepping into the market even as affordability remained a challenge.
That combination matters because it shows a market where activity is still happening, but at a slower and more price-sensitive pace. More buyers are focused on the monthly payment than the headline price alone, and that is shaping how they shop.
Taylor Trollan, Agent with RJ Williams & Co., said that shift is showing up clearly in the conversations happening on the ground.
“With interest rates in the 5 percent to 6 percent range, most buyers are focusing much more on affordability and manageable monthly payments. New construction homes are offering some of the best affordable options for first-time homebuyers and small families. I am always looking for new opportunities for my clients and staying informed on the areas I serve so I can help them make the best decision possible,” Trollan said.
Inventory continues to be one of the biggest drivers of this shift. Active listings statewide climbed to 134,373, up 9.9 percent year over year, while months of supply increased to 4.8, up from 4.4 a year ago. Homes also spent more time on the market, with the average rising to 82 days, up from 74 days last year.
Sellers are feeling that pressure. The median seller price cut increased to $16,900, or 4.9 percent off the original list price, while the median sale-to-list price ratio slipped to 0.95. The statewide median home price came in at $325,000, down 1.0 percent year over year.
Taken together, the data points to a Texas market that is not collapsing, but clearly recalibrating.
For buyers, this creates more opportunity than they have had in recent years. More inventory, longer market times, and bigger price cuts mean more choices and more negotiating power. For sellers, the environment is still workable, but the days of broad pricing power are fading. Accurate pricing, presentation, and strategy matter more now than simple market momentum.
That shift is even more noticeable in North Texas.
In Dallas-Fort Worth-Arlington, home sales fell to 6,028, down 6.1 percent year over year, a steeper decline than the statewide average. Year to date, DFW sales were also down 6.1 percent, showing that the slowdown in the metroplex has been more pronounced than in Texas overall.
At the same time, DFW inventory has continued to build. Active listings rose to 29,375, up 7.1 percent year over year, while new listings increased 8.0 percent. Months of supply reached 3.9 months, showing that while DFW remains somewhat tighter than the statewide market, it is still becoming more favorable for buyers than it was a year ago.
Juan-Carlos Hernandez, Agent and Mentor with RJ Williams & Co., said this is the kind of market where experience and negotiation matter more than ever.
“I have been a real estate agent for more than 10 years and have worked through both strong seller’s markets and challenging buyer’s markets. The DFW market has consistently shown strength, resilience, and long-term growth. Today’s market is much more balanced, which creates real opportunities for both buyers and sellers when they have the right strategy and guidance. Agents with strong negotiation skills and a strategic mindset are absolutely taking the lead in Dallas-Fort Worth right now,” Hernandez said.
The median home price in DFW stood at $380,000, and the report notes that pricing pressure is continuing to build, particularly in the Fort Worth-Arlington side of the market.
For buyers in DFW, that means more options and less urgency. For sellers, it means competition is growing, and overpricing is more likely to be punished with longer market times and price reductions.
The larger takeaway is that Texas, and especially DFW, is moving into a healthier and more negotiable market. This is no longer the kind of environment where sellers can rely on scarcity alone. It is also no longer the kind of market where buyers must make rushed decisions with little room to negotiate.
That balance can be good for both sides when approached correctly. Buyers have more opportunities to compare, negotiate, and protect their finances. Sellers who come to market well-prepared and realistically priced can still succeed, especially with the right guidance.
As the Texas market continues to adjust, DFW remains one of the most important places to watch. The inventory build, softer sales pace, and growing pricing pressure all point to a market that is changing, but not stalling. For agents, buyers, and sellers alike, this is a market that rewards strategy, patience, and strong local knowledge.
- Texas closed sales: 22,596, down 2.2 percent
- Texas pending sales: up 6.7 percent
- Texas active listings: 134,373, up 9.9 percent
- Texas months of supply: 4.8
- Texas median price: $325,000, down 1.0 percent
- DFW sales: 6,028, down 6.1 percent
- DFW active listings: 29,375, up 7.1 percent
- DFW new listings: up 8.0 percent
- DFW months of supply: 3.9
- DFW median price: $380,000