Where are housing market conditions headed in 2026? Let’s look at expert predictions and homebuying goals.

DFW Will Favor Buyers

Realtor.com predicts the 2026 U.S. housing market will tilt “somewhat further in buyers’ favor than the 2025 housing market.”

For Dallas, Realtor forecasts 5.4% fewer homes will sell compared to 2025. That means buyers probably won’t face bidding wars, and sellers will be more likely to negotiate on price, closing costs, and repairs. With fewer overall sales, buyers often have more choices and more time to make those choices.

Home Prices Should Remain Stable

The typical home price in Dallas is expected to rise. However, the increase should be comparatively low. Realtor.com anticipates a 1.8% rise in the median home price—lower than the predicted national average. The forecasted Dallas increase is significantly lower than “hot” markets where home prices are expected to rise as much as 10% in 2026.

Reliable Mortgage Rates in 2026

Expect mortgage rates to stay close to their current averages. Redfin and Realtor.com both predict the 30-year fixed-rate average will be around 6.3% this year. Bright MLS forecasts 6.15% by year-end. The Mortgage Bankers Association (MBA) thinks the average will be 6.4% through 2026. Fannie Mae forecasts the 30-year rate will be 5.9% by the end of 2026.

New Year, New Plan

Could 2026 be the year you buy your forever home? Getting there comes down to a few clear, manageable steps. Here are some proven real estate goals to set now:

  • Pay attention to your credit score. Don’t like the number? Take action. There are practical ways to boost your credit score, and a stronger score gives you more borrowing power.
  • Set your budget. Use the 28/36 rule. It says your monthly housing expenses (mortgage, taxes, insurance, etc.) shouldn’t exceed 28% of your gross monthly income. Your monthly debt payments (mortgage, credit cards, car loans, etc.) shouldn’t exceed 36% of your gross monthly income.
  • Do your homework. Where do you want to buy? How much space do you need? Make a clear list of wants, needs, and must-haves.
  • Get mortgage preapproval. It defines your buying power. A preapproval letter shows sellers you are serious and can offer an edge in a competitive situation.

Contact a member of the Decker Group to talk about how 2026 could be the year of your new home. Call us at (972) 591-3097 or connect with us online.