D-FW Housing Market Shifts Gears as Inventory Empowers Buyers

If only mortgage rates were lower because the D-FW housing market seems to be giving prospective homebuyers some serious wiggle room for the first time in years.

An analysis of market data by M&D Real Estate found that at least one county in the Dallas metro area has officially entered buyer’s market territory, with surging inventory arming prospective homebuyers with leverage in negotiations.

More Inventory Coming Online

“It’s a combination of more new inventory coming to the market alongside an increase in existing resale inventory,” said Danny Perez, M&D Real Estate’s founder and managing director, speaking with CandysDirt.com.

As 2 North Texas Counties See Home Prices Dip, What Does it Mean for DFW Housing Market?

D-FW housing inventory came in 53% higher in April year over year, reaching roughly 123,000 listings after steadily rising since the start of 2025. All those homes hitting the market had a pronounced impact on buyers’ negotiating power. Zillow clocked a 60% increase in Dallas homes being sold below their listing price in March. And while it’s by no means apples to apples, the firm had the median sale price in March at around $418,000 and the median listing price in April at roughly $409,000. Make of that what you will.

Perez noted another important factor at play in the housing market is the number of transactions recorded, which he said were at “anemic levels” for the area in April. He credited the decline in transactions to still-high pricing and mortgage rates.

On Thursday, Freddie Mac pegged the 30-year fixed-rate mortgage average at 6.86%, up from 6.76% a few weeks earlier. While that’s lower than one year ago, it’s still way above the 2-3% lows of 2020 and 2021.

“So now that we’re seeing 30-40% increases in listings year over year, really since January, that’s just creating this huge inventory,” Perez said. “And obviously it’s turning D-FW into a solid, balanced market, and in some counties, it’s a buyer’s market. That’s what we’re seeing.”

A balanced housing market is defined as logging 4-6 months of inventory.

What This Means for Buyers and Sellers

M&D Real Estate’s market outlook heading into the summer suggests things might get rosier, with even more inventory expected to put downward pressure on prices outside of the luxury home category.

Obviously, this means different things for buyers and sellers. Here’s some advice the company’s putting out there:

Collin County: Prices Dip, Inventory Grows, Listings Linger

Breaking down D-FW by county, Collin County by far and away plowed straight into market correction territory in April, clocking a 3.7% decline in median sales price with over 60% more homes on the market than in the same period last year. Listings stayed on the market much longer than they did in April 2023 as well, with an average of 28 days (a 65% year-over-year increase) and 23.4% fewer showings per listing.

Denton County: More Homes and Fewer Showings

In Denton County, inventory was up by 63%. Meanwhile transaction activity was sharply down with 32.2% fewer showings. Median sales price ticked down by 1.3%. Meanwhile, days on market shot up by 56%.

Balanced Market in Dallas and Tarrant

Both counties entered balanced housing market territory last month, logging 4-6 months of inventory. The same goes for Dallas County, where pricing remained flat, and Tarrant County, where pricing actually ticked up a little bit. Nevertheless, the metro’s flagship counties saw significant spikes in inventory and days on market. It’s further out in the suburbs, however, where prospective homebuyers have the most leverage.

Tarrant County Leads DFW in New Listings as Summer Real Estate Season Heats Up

Buyer’s Market in Outlying Counties

Hunt County is a full-on buyer’s market with more than 6 months of inventory. Kaufman County and Rockwall County are not far behind, with 5.6 months and 5.7 months of inventory, respectively. All three counties clocked significantly more days on market, increased inventory, and fewer shows per listing. However, they also saw modest increases in median sales prices. It’ll be interesting to see what May figures look like as sellers start getting more antsy.

“The outer-lying counties are feeling it,” Perez said.