Houston Market Update - April 2025

We’ve been tracking HAR’s Weekly Activity Snapshots closely and mapping out how the Houston market is shaping up this spring—and this month, we’re pairing that local data with national housing trends to give a more complete picture of where things stand.

Let’s start local. Over the past four weeks (Weeks 13–16), New Listings in Houston are way up—ranging from +11.5% to +40.6% compared to the same weeks in 2024. That kind of inventory growth is exactly what the market’s been needing after years of tight supply.

But rising listings haven’t been met with rising contracts. Pending Listings have trailed last year for three straight weeks, with Week 16 down nearly 9% from 2024. We’re also seeing a decline in showings, especially in the most recent week (-11.4% YoY), which points to buyers staying cautious.

Off-market activity spiked dramatically in Week 14 (up +83.2% YoY), which could reflect a disconnect in pricing or buyers simply being more selective right now. Sellers who aren’t getting traction are opting to pull listings rather than cut prices—though that might be shifting soon.

Zooming out to the national level, we’re seeing some interesting confirmation of these trends:

• Mortgage rates have ticked back up, currently at 6.98%, which is putting renewed pressure on affordability.

• Inventory is rising nationally, now at 719,400 active listings, a 90-day increase of nearly 17,000 homes.

• Price reductions are also climbing, now at 35.6%—a sign that sellers are adjusting to the new rate environment.

• The Median List Price sits at $450,000, holding mostly steady, while Days on Market has dipped slightly to 107 days—possibly reflecting stronger movement in certain price segments.

Takeaways:

• Locally, we’re encouraged by the rise in inventory. That’s good news for buyers who’ve felt like they’ve had too few options the past two years.

• Buyer demand, though, is still soft—most likely due to rates hovering close to 7%. That’s making buyers more cautious and price-sensitive.

• On the national level, we’re seeing similar signals: inventory’s up, price reductions are creeping higher, and sellers are being forced to adjust.

• If rates drop closer to or below 6%, we expect a noticeable shift in buyer behavior. Until then, this is still a strategy-first market where pricing, presentation, and preparation matter more than ever.

As always, if you want to know how these trends affect your neighborhood or plans—reach out. We’d love to help you make sense of the market and create a game plan that works for you.