Houston Real Estate Market Report: What the Numbers Are Telling Us Right Now (January–April 2026)

The Houston real estate market has been sending a clear message in the first four months of 2026: balance is back, and buyers are paying attention.

After years of post-pandemic volatility, the data from the Houston Association of Realtors tells a story of a market that has found its footing — inventory is up, prices are moderating, affordability has improved, and transaction volume is climbing. Whether you're buying, selling, or holding investment property here, the conditions right now deserve a closer look.

Here's what the January through April 2026 data actually shows — and what it means for your next move.

The Story in Four Months

January 2026: A Slow Start With Green Shoots Underneath

The year opened with measured activity. Single-family home sales came in at 4,999 units — down about 1% from January 2025 — marking the slowest January transaction volume since early 2023. But beneath the surface, the leading indicators were moving in the right direction.

Pending sales rose 8.5% year over year, signaling that buyers were getting serious even if closings hadn't caught up yet. Active listings jumped 16.6% to 34,570 homes, giving buyers far more options than they had a year prior. Inventory expanded to 4.7 months of supply, up from 4.2 months in January 2025.

On the price side, the median single-family home price settled at $322,045 — its lowest point since January 2024. The average price rose 2.8% to $416,722, pushed higher by an unusually strong luxury segment: homes priced at $1M and above posted a 15.5% year-over-year sales increase.

Perhaps most importantly for buyers: the monthly mortgage payment on a median-priced Houston home dropped by more than $160 compared to January 2025. Affordability had improved in 15 of the previous 18 months going into the new year.

The takeaway: Sellers started 2026 adjusting to a more balanced market. Buyers came in with more options, more time, and more purchasing power than they've had in years.

February 2026: Buyers Preparing to Move

February brought a similar pattern — closings slightly below last year's pace, but buyer activity building steadily underneath.

Single-family home sales declined 2.2% year over year to 5,918 homes, but pending sales surged 13.0%, the clearest sign yet that the spring market was loading up. Average days on market reached 69 days — the highest level since March 2013 — confirming that sellers who priced aggressively were waiting longer for results.

Inventory continued climbing. Active single-family listings rose 15.2% to 35,128 homes, and months of supply grew to 4.8. The national inventory stood at 3.7 months by comparison, per the National Association of Realtors — Houston was outpacing the country in available supply.

The median price held near January's level at $322,078. The average price rose slightly to $415,091. Houston's affordability story kept improving: buyers were saving approximately $149 per month compared to February 2025 on the same median-priced home, an annual savings of $1,786.

HAR Chief Economist Dr. Ted C. Jones put it plainly: "If you are waiting for the Houston housing market to bottom, it already did several years ago and is back to normal levels."

The takeaway: February confirmed the pattern — the market was reloading for spring. Sellers needed pricing discipline. Buyers had leverage they hadn't seen in years.

March 2026: The First Real Momentum Shift

March is where things started turning more clearly.

Single-family home sales posted their first year-over-year increase of 2026, rising 3.7% to 7,644 homes sold. Pending sales were up 12.8%. For the 12-month period ending March 2026, Houston single-family home sales were up 2.0% compared to 2019 — pre-pandemic normal. By contrast, U.S. existing-home sales were still down 24.2% over the same comparison period.

Houston is not just recovering. It has fully normalized and is growing.

Prices continued their measured softening: the median fell 1.5% to $330,000, and the average eased 1.2% to $420,510. Days on market rose to 67 days from 62 the prior year. Inventory growth was slowing — a signal that the supply build-up was stabilizing.

Affordability remained strong. The typical principal and interest payment on the median-priced home was approximately $106 less per month than March 2025.

The one notable exception: the luxury segment ($1M+) posted a 4.5% decline in sales after several strong months — a signal worth watching for sellers at the top of the market.

The takeaway: March confirmed that Houston buyers were back. The spring market was real, and volume was moving. Sellers who priced correctly were transacting. Those who didn't were sitting.

April 2026: Spring Arrived and Buyers Showed Up

April was the clearest data point of the year so far.

Single-family home sales rose 4.4% year over year to 8,196 homes — a meaningful acceleration. Pending sales climbed 9.4%, reinforcing that the momentum is continuing into the summer. Total property sales across all types increased 3.1% to 9,568 units, with total dollar volume reaching nearly $4.0 billion.

The median single-family price settled at $332,000 — down 1.6% from April 2025 but stable relative to the previous months. The average price came in at $428,709. Active listings grew 6.5% to 36,572 homes, and inventory edged to 4.9 months of supply.

Critically, mortgage rates dropped to 6.33% in April from 6.73% a year ago, according to Freddie Mac. Houston homebuyers on a median-priced home were paying nearly $100 less per month in principal and interest than they were a year earlier. Affordability has now improved in 18 of the past 21 months.

HAR Chair Theresa Hill noted: "More inventory is giving buyers room to breathe again. Homes are still moving, but consumers have more time to make decisions and more leverage during negotiations."

Houston single-family home sales were up 6.8% in April compared to April 2019 — and up 7.6% for the trailing 12-month period versus the same 2019 window. U.S. existing-home sales, by comparison, were down 22.4% from April 2019. The gap between Houston and the national market is significant and growing.

The takeaway: April confirmed that Houston's spring 2026 market is healthy, active, and outpacing the nation. Inventory is providing balance — not a buyer's market, but a fair one.

What the Full Picture Looks Like: January–April 2026

Source: Houston Association of Realtors, Monthly Housing Market Updates, January–April 2026

What This Means If You're a Seller in 2026

The market is workable — but it is not forgiving of overpricing.

Days on market are running 60–69 days depending on the month. Active listings are at levels Houston hasn't seen in years. Buyers have options and they know it. What's moving is homes that are priced correctly, show well, and are marketed to the right pool of buyers — including active relocation buyers who represent some of the most motivated and qualified purchasers in this market.

If you're thinking about listing, the preparation period matters. Professional photography, deferred maintenance addressed before listing, and a pricing strategy built on real comparable data — not optimism — are what separate homes that close in 30 days from homes that sit and reduce.

What This Means If You're a Buyer in 2026

This is one of the better buying environments Houston has offered in several years.

You have more inventory to choose from, more time to make decisions, and meaningfully lower monthly payments than you would have had a year ago. You also have a market where negotiation has re-entered the conversation — particularly at higher price points and on homes that have been sitting.

Pre-approval is still non-negotiable before touring. Sellers in the active price ranges are not taking unverified offers seriously. But once you're prepared, the market rewards buyers who move with clarity.

A Note on Affordability

This is worth naming clearly: Houston is one of the most affordable major metros in the country, and that gap is widening relative to coastal markets.

Over the trailing 12 months, Houston has improved affordability in 18 of 21 months. Monthly payments are down. Inventory is up. And Houston is one of the few major markets in the country where transaction volume has fully returned to — and surpassed — pre-pandemic norms.

That structural advantage doesn't disappear. It continues to draw relocating buyers, corporate transfers, and investors who understand that Houston's fundamentals are durable.

Work With Someone Who Knows This Market

I’m Ty Robinson, Broker Associate with Compass in Houston. I help buyers, sellers, and investors make clear, data-backed decisions across the greater Houston market — from pricing strategy to neighborhood selection to timing the next move.

If you want to understand what this market means for your specific situation, let’s have that conversation.

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