Supply in Houston’s residential real estate market surpassed demand in 2025, resulting in increased sales but stagnant prices, according to data from the Multiple Listing Service.
The Houston Association of Realtors reported that single-family home sales rose by 3.8 percent last year, with 88,634 houses sold compared to 85,373 in 2024. “Single-family home sales jumped 3.8 percent in Houston in 2025, year-over-year, with 88,634 houses sold compared to 85,373 in 2024, the Houston Association of Realtors stated last week.”
In contrast, Dallas/Fort Worth saw a slower increase of just one percent for single-family home sales during the same period, reaching 86,373 homes sold. The Austin-Round Rock-San Marcos area experienced a decline of 3.2 percent to about 29,300 sales.
Despite heightened purchasing activity in Houston, prices remained steady. “The median price of a single-family home in the Houston area held flat at $335,000 in 2025,” according to the Houston Association of Realtors. At certain times during the year—such as late spring and early fall—median prices even fell below those recorded in 2024.
Houston also set records for housing inventory last year. In June, active single-family listings surpassed 39,000—a figure not seen since 2007 and representing a year-over-year increase of thirty percent. By August, total housing inventory—including townhomes and condos—rose to nearly 44,000 listings. This made Houston’s supply the largest among major U.S. cities.
While homebuilders slowed their pace elsewhere in Texas, construction continued robustly around Houston. The metro area led the nation for new home construction permits issued between January and March with almost thirteen thousand permits.
Sellers accepted larger discounts on their homes than most other markets last fall; September sales averaged a sale-to-list price ratio of ninety-six point three percent. Nearly one-third of sellers offered discounts on their listings in August—a rate tied with Dallas for the highest among top metro areas.
