Despite home-price increases in most markets across Texas, the statewide median declined 1.2% year over year to $335,000 in 2025 due to price cuts in the state’s four major markets, according to the Real Estate Year in Review from Texas REALTORS®.
In the Houston metro area, the median declined 0.2% year over year to $334,400. That meant a price-per-square foot of $162.86, down 1.1% from 2024.
“Some markets where prices jumped quickly a few years ago are now dipping a bit, while other areas that had a slower rise are still going strong,” Jennifer Wauhob, chairman of Texas REALTORS®, said in a press release. “It’s crucial to know your own market and base decisions on hyper-local information.”
Throughout the year, 335,390 Texas homes sold in 2025, up 1.3% from 2024. Median days on market increased 23.1%, hitting an average of 67 days — a week longer than a year prior.
Given the pace of sales, Texas had an average 4.6-month inventory in 2025, up from 4.1 months in 2024.
In Houston, 89,012 homes sold, up 3% year over year. Homes spent a median 55 days on market, up five days annually. That amounted to a 4.5-month inventory, up from 3.9 months in 2024.
“You don’t decide how warmly to dress based on a national or statewide forecast,” Wauhob added. “Even if you’ve heard that ‘the market’ is doing this or that, it may not be true where you live.”