The Dallas housing market is in a unique state. Inventory is at a historical high. Prices are softening. Mortgage rates are stable. Let’s consider how these key factors affect the timing of buying a home.

A Market That Favors Buyers

With high inventory, buyers have a greater selection of homes to choose from. These homes are staying on the market around a week and a half longer than they did last year, giving buyers more time to shop. Sellers are more motivated to make concessions and lower their prices.

However, as U.S. home prices have nearly doubled over the past decade, those available homes are priced out of reach for many.

How much should you expect to pay? In May 2025, the median closing price for a home in Dallas was $399,000, down 2.21% from $408,000 in May 2024. The median price per square foot in May 2025 was $195.71.

If you have the means, you will have exceptional options in Dallas, making now a good time to buy a home.

Prices Are Cooling in Dallas

Dallas has been an exception to the national trend of upward-moving median home prices. According to Realtor.com, in June 2025, the median listing home price in Dallas was down 5.5% year-over-year. This makes now a good time to buy a home.

As prices aren’t expected to spike, this gives some breathing room to those looking to save money and buy a home in the future.

Mortgage Rates

With considerable impact on the housing market and your decision to buy a home, mortgage rates are a significant factor. Many homebuyers face this question: Should I buy at today’s rates or wait in the hope that rates will come down? Even a shift of half a percent in the rate could save or cost you tens of thousands of dollars over time.

Where are mortgage rates headed? There is consensus among financial experts that the 30-year fixed rate will hold steady in the mid-6% range through 2025 and decline slightly through 2027. Fannie Mae has one of the most optimistic forecasts, predicting a 6.1% rate in 2026. Wells Fargo is less optimistic, forecasting 6.5% in 2026.

But is it the right time for you to purchase a house? We can help answer that question. Give a member of the Decker Group a call at (972) 591-3097 or contact us online.