The Dallas housing market is in a really interesting spot right now, and sellers are trying to predict what’s ahead in 2026. Of course, it’s hard to say, but what we are starting to see unfold in North Texas is a change that will make you think about how and when to sell your home. If you’re a Dallas homeowner trying to figure out if you should list your property now or wait for better conditions, then this helpful guide is for you. Below, we’ll take a look at the current market trends, see what’s driving inventory growth, and show you how Four 19 Properties can help you.
The “Great Reset”: Why Dallas Inventory is Stacking Up
What we’re seeing in the real estate market across Dallas-Fort Worth is a great reset. The market is shifting from a seller’s market to a buyer’s market, and inventory is 53% above normal levels.
Back in April of 2025, we started seeing signs of a market change when active listings reached 123,000 in the DFW housing market. That created a supply situation that we haven’t seen since pre-pandemic. Across the board, we’re seeing active listings up over 22% compared to last year, which means buyers have plenty of options to choose from. A balanced market usually has 3-4 months of supply of inventory, but we’re currently sitting at about 5.5 months of inventory across Texas.
The force behind all of these points to new construction units – they are hitting the market faster than buyer demand. Another likely reason is that employment growth is slowing down. So homes that once moved quickly are now requiring creative ways to market them, strategic pricing, and patience.
Will Home Prices Drop in Dallas in 2026?
The big question on everyone’s minds is about home prices and if we’ll see a meaningful drop in 2026. Of course, current data is murky to say the least.
Currently, we’re seeing median close prices are down by 2.42% for single-family homes compared to last year. Even housing market predictions in TX suggest we’re entering a period of price stabilization rather than dramatic collapse. The median home price currently sits around $399,000 across the wider Dallas market, with Zillow predicting home values in the Dallas-Fort Worth-Arlington area could decrease by about 2.2% by May 2026.
We’re starting to see more challenges in the luxury market, but homes under $300,000 remain surprisingly resilient. Market value analysis is showing gradual monthly price adjustments rather than a crash. Fortunately, the Texas Real Estate Research Center data shows these gradual price changes are bringing us closer to home prices that match what people in the area can actually afford.
Suburbs vs. Urban Core: The “Exurb” Boom
To help your selling strategy, you’ll want to look at where homes are selling across Dallas and if there are any clear patterns. What we’ve seen recently is fast growth in smaller communities outside of the main suburban areas because they offer more space and better prices.
As far as prices go, Dallas suburbs show a big price divide. Expensive cities like Frisco, McKinney, and Southlake still hold median prices above $600,000. But newer areas like Celina, Aubrey, and Forney are becoming more attractive for buyers because they are less expensive and offer more space.
Of course, downtown Dallas is a different beast. But Fort Worth, Arlington, and Mesquite offer cheaper options with median prices sitting at $280,000 to $375,000. Lower prices attract first-time buyers and investors since it’s easier to get into the market.
What buyers are looking for today is more space, good schools, and nice community features. This is great if you’re selling in a family-friendly neighborhood with a good school district. But in areas that are changing or transitioning can make it harder to sell.
The Hidden Risk of Waiting: Competing with Builder Concessions
Oftentimes, new construction competition gets overlooked, and it makes it risky if you decide to wait to sell. What’s happening is that builders across the Dallas-Fort Worth-Arlington metro area are offering aggressive incentives that could undercut existing home values.
With all of this construction growth across the suburban corridors, we’re seeing new homes offering warranties, modern layouts, and really attractive buyer incentives. It’s hard to pass up on rate buydowns, closing cost credits, and upgrade packages.
As you could imagine, this really impacts homes that were built within the last 15 years that lack character appeal and don’t have any modern conveniences. And if you’re trying to sell your house as is in Dallas, this becomes even more of a challenge because you’re competing against move-in-ready homes.
Forecast 2026: Mortgage Rates & Buyer Power
The way buyers act is controlled by the mortgage rates, and the predictions we’re seeing for 2026 show borrowing costs staying high and impacting the market. Keeping track of these trends will help you decide when the right time is to sell.
Realtor.com thinks the average 30-year mortgage rate will stay near 6.3% in 2026, down a little from 2025’s 6.6% average. Fannie Mae’s team thinks mortgage rates will end 2025 at 6.4% and drop to 5.9% in 2026. That’s better, but not the low 4% rates many buyers want.
Bottom line: higher interest rates make it harder for people to afford homes, so buyers have to be pickier. Yes, the job market strength across Dallas-Fort Worth does help some, but the reality is that many potential buyers can’t afford the high borrowing costs.
As buyer power grows with more homes for sale, we see buyer demand getting weaker. Back in March 2025, we saw 66% of homes sold below list price, which really shows how the marketing is changing. More than likely, we’ll continue to see this going into 2026, especially for homes that don’t stand out.
How to Skip the “Days on Market” Wait and Sell Instantly
Since we’re seeing a 3-4 months inventory supply and houses taking more days to sell, the regular listing process puts sellers at risk. Homes are taking an average of 70 days on the market to sell, which means sellers are dealing with ongoing costs, pressure to cut prices, and ongoing stress waiting for their house to sell.
Dallas cash home buyers like our team at Four 19 Properties offer a different option that gets rid of these problems completely. How we buy houses is different from regular buyers – we focus on making it easy, fast, and certain instead of trying to squeeze out every last dollar.
We made our process entirely stress-free for home sellers. You won’t have to deal with things like staging costs, repair disputes, or financing falling through. You’ll be able to receive a cash offer today and close in weeks, rather than months, helping you avoid the risk of falling prices or your home sitting on the market for too long.
Comparison: Selling to Us vs. Listing in a Cooling Market
If you really want to understand your options, you’ll need to compare the regular listing route with a direct home sale to a cash buyer. Each option does have some positives and negatives to consider.
A regular listing will involve cleaning, decluttering, repairs, staging, competing with inventory growth, and longer selling times. To put that into perspective, the average days it takes to sell is anywhere from 75 to 86 days or more. And unfortunately, homes that don’t grab the buyer’s attention right away can sit for months, ultimately forcing price cuts and marketing changes.
We didn’t even mention that Dallas property taxes keep going up, which only puts more pressure on you to sell quickly. The longer your home sits, the more you pay in extra taxes and utility bills that cut into your profits.
Selling directly to Four 19 Properties gets rid of these problems. We buy houses as they are, handle all the paperwork, and close fast to keep your costs low. Although you may get a slightly higher starting price through regular listing in perfect conditions, your final profit is often similar when you add up all the costs and risks.
Frequently Asked Questions (Dallas Market Trends)
Is the Texas housing market going to crash in 2026?
What current data is showing us is a market correction rather than a crash. So instead of a crash, we’ll probably see small monthly price drops through the rest of 2026, possibly resulting in an overall average decline of 2% to 4% for the full year 2026. But the basics supporting Dallas, like the job market strength, population growth, and economic variety, are still strong.
Is Dallas currently a buyer’s or seller’s market?
All signs are pointing to us moving toward a buyer’s market. Most counties are now balanced or favor buyers, with inventory levels giving buyers more negotiation power. However, specific neighborhoods and price points are very different. Well-priced homes in good areas still sell quickly.
How fast can I sell if I miss the Spring window?
Regular selling outside busy seasons usually takes 60-90 days, maybe longer if you need to cut prices. However, working with companies like Four 19 Properties lets you sell your house fast in Fort Worth and Dallas, no matter the season, typically closing within 2-3 weeks of agreement.
Do I need to renovate to sell in 2026?
Market conditions show buyers increasingly want move-in ready homes, especially when competing with new construction. However, selling as is in Dallas through cash buyers removes renovation needs while giving you certainty and speed. The key is understanding which approach gets you the most money for your specific situation.
Conclusion
2026 should be an interesting year for the Dallas housing market. We’ll likely see both challenges and opportunities for sellers as long as they are willing to pivot with their approach. What’s making things complicated is rising inventory, picker buyer preferences, and high mortgage rates.
However, we are starting to see the shift from sellers controlling the market to a more balanced market. But that does mean you may have to get creative when it comes to selling.
If the biggest things you’re looking for are speed and results, then working with Four 19 Properties can provide both and more. We buy houses throughout the Dallas-Fort Worth metro area, and even in Houston. We offer fair cash prices and fast closings that remove the stress and hassle of a traditional sale.
Whatever you end up deciding to do, acting quickly is always the better choice than waiting forever. Contact Four 19 Properties today to hear about your options and get a cash offer that removes the uncertainty of traditional selling in 2026’s changing market.