A Dramatic Shift! Texas Housing Inventory Surges Past Pre-Pandemic Levels
The Texas housing market is writing a new chapter, and it’s a dramatic one. For what feels like years, bidding wars and limited choices defined our real estate landscape. But now, a significant rebalancing is underway across the Lone Star State, giving both buyers and sellers a fresh perspective on the market.
According to data from mid-2025, Texas is one of the few states where active housing inventory has officially surged past pre-pandemic levels. The statewide months of supply reached 5.5 months in May, a dramatic increase from just 4.3 months a year prior. In fact, statewide active listings are now over 41% higher than they were in April 2019. This historic surge is a clear sign that the market is normalizing, offering more breathing room for everyone.
Why it Matters
For homeowners and sellers in the Houston area and across Texas, this shift means the market is becoming more competitive. Homes are taking longer to sell, with the median days on market increasing to 32 days in May 2025. This means that while your home might have sold in a matter of days a year or two ago, it now requires a more strategic approach to stand out. The statewide median home price, at $340,000 in May, is showing signs of softening after years of rapid appreciation.
For potential buyers, this is a major turning point. The days of making an offer on a house you saw for just an hour are largely behind us. With rising inventory, you now have a wider selection of homes and more time to make a thoughtful decision. This newfound leverage can lead to more favorable terms on your purchase and a less frantic buying experience.
What is next
Whether you’re looking to sell or buy, the key to success in this new environment is to be informed and prepared.
For Sellers: The days of automatic bidding wars are over. To get the best value, focus on proper preparation and presentation. Invest in a professional home staging, make sure your home is in pristine condition, and price it competitively from the start. A local real estate expert can provide a detailed market analysis to ensure your listing attracts the right attention.
For Buyers: Use this moment to your advantage. Get pre-approved for a mortgage so you are ready to act. Work closely with an experienced real estate agent who can help you navigate the increased inventory, identify the best opportunities, and craft an offer that reflects the current market dynamics. This is your chance to find the perfect home in a market that is finally rebalancing.