Texas's 2025 housing market shows a buyer's market with high inventory (5.5 months supply) and falling prices, yet sales rose 7.3% YoY. Median price cuts average $17,000, with homes taking longer to sell. Starter and luxury segments perform well, while the middle tier struggles due to mortgage rate lock-in. Prices likely decline 2-4% in 2025, stabilize mid-2026, then appreciate modestly as inventory normalizes and rates ease.
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