Houston Housing Market 2026: Is Now a Good Time to Buy or Sell?

Is Now a Good Time to Buy a House in Houston?

Generally speaking, you are in a good position if you’re looking to buy a home in the Houston area. There are tens of thousands of homes on the market that are available for purchase.

Furthermore, houses are taking longer to sell than they did a year ago. HAR indicates that there are 5.5 months of inventory, and a house usually takes around 58 days to sell. Both of these data points are slightly higher than before.

As a result, you may have some leeway when it comes to negotiating with a potential seller. There may be price adjustments, repair concessions, or closing costs that you couldn’t request if the market wasn’t as favorable.

With that said, be aware that mortgage rates have increased significantly over the past year. All else equal, a home priced at the $325,000 median is going to cost you $83 per month more than it would have last year.

Key Data Details

The buyer’s market for single-family homes is primarily for homes priced between $250,000 and $500,000, where sales were down 5.7%. Sales of homes priced between $500,001 and $999,999 were actually higher, though only by 0.6%. So, more expensive homes may not offer as much room for negotiations with the seller.

Townhomes and condos are particularly strong options for buyers. Their sales have declined 21% from 2025, and median prices have dropped more than 9% during the same period.

A Word about Taxes

The Texas Legislature has discussed property tax reform extensively over the past few years. Texas continues to be a state with one of the highest property tax rates in the country.

Furthermore, tax rates vary at the county level in Texas. In the Houston area, Fort Bend County ranks in the top 20 for highest nominal property tax rates, while Harris County is about average.

Generally speaking, Houston area residents can expect to pay anywhere from 1.47% (Montgomery County) to 2.07% (Fort Bend) in property taxes each year. So, if you’re planning on buying a home in the Houston area - particularly if you’re not from Texas - make sure to figure the property tax bill as part of your budget calculations.

Is Now a Good Time to Sell a House in Houston?

All of the information above did not paint the rosiest of pictures if you’re needing to sell your home in Houston. However, all is not lost, and the smart seller can still find buyers if they’re willing to do a few things.

The first tip for a seller is to price your home competitively and realistically. Since the median home price did not change, you cannot afford to assume that any year-over-year appreciation in value has taken place.

So, try to find the best and most recent comparable sales, or comps, that you can find. The fewer adjustments that you have to make, the more accurate your price is going to be.

The biggest reason that homes take longer to sell or, worse, do not sell at all is that they are priced too high. Try to balance the additional value that you’re seeking against the expense and hardship that dragging out the process will entail.

The second thing to do is get the home in the best shape you can. Clean it as spotlessly as possible. Hire a professional to clean, if you’re able.

Additionally, try to fix whatever maintenance issues you can. Any small fixes that you’ve put off or lived with now need attention.

These actions are necessary because the third step is to get the highest quality photos of your home that you can reasonably afford. Don’t break the bank, but you want your house to be as appealing as possible when people view it online.

The last thing to do is manage your own expectations. Houses in Houston can and do sell in a short period of time, but the more likely scenario is that it’s going to take a couple of months. Don’t get discouraged if things don’t seem to be moving right away.