Texas Housing Market Ranks Last As Austin Slides

Five major Texas metros struggle as the state posts the nation's coldest real estate market, according to a new Construction Coverage study.

Apr. 2, 2026 at 9:51pm

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An abstract geometric illustration using clean lines, triangles, and rectangles in muted earth tones to conceptually represent the shifting dynamics of the Texas housing market.As the Texas housing market cools, a new era of buyer empowerment emerges across the state.Houston Today

Texas, once a hot spot for real estate, is now the coldest housing market in the country, with five major metros ranking among the weakest in the U.S., according to a new Construction Coverage study. Austin, the former boomtown, now finds itself near the bottom for large cities, a sharp reversal that could shake up spring listings and bargaining power across the state.

Why it matters

The cooldown in the Texas housing market, driven by factors like rapid pandemic-era price run-ups, higher mortgage rates, and return-to-office trends, could have significant implications for home sellers, buyers, and developers across the state. As active listings climb and buyers gain more negotiating power, the next chapter will depend on the mix of mortgage rates, job growth, and local housing supply.

The details

The Construction Coverage study found that Texas posted a composite score of 7.3, the lowest of any state in the analysis. Austin ranked 51st out of 52 large U.S. cities with a composite score of 17.2, making it the second-weakest large-city market. San Antonio landed at 48th, Fort Worth at 44th, Arlington at 40th, and Houston at 39th, collectively putting five Texas cities in the bottom 15 nationally. The study's composite score equally weighted five indicators sourced from Redfin data: one-year change in median sale price, the share of homes sold above asking price, median days on market, average sale-to-list percentage, and the share of listings with price drops.

  • The Construction Coverage study was published on April 2, 2026.
  • February 2026 data cited an approximate 2.7% drop in Austin's median sale price and a median days-on-market figure near 91 days.

The players

Construction Coverage

A company that conducted the study on the hottest real estate markets in the United States.

Redfin

The real estate data company that provided the indicators used in the Construction Coverage study.

Houston Chronicle

The local newspaper that reported on the findings of the Construction Coverage study.

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The takeaway

The dramatic shift in the Texas housing market, from a red-hot real estate boom to a sudden cooldown, highlights the volatility and unpredictability of regional housing trends. As buyers gain more negotiating power and sellers face increased competition, the future of the Texas housing market will depend on a delicate balance of economic factors that will determine whether certain metros can regain their earlier momentum or settle into a more buyer-friendly, but potentially less lucrative, rhythm.