📊 Houston Real Estate Market October 2025: A Steady Shift Toward Balance

Navigating the Houston Real Estate Market with Local Experts

The Houston housing market continues to stabilize as 2025 winds down. October marked the sixth straight month of year-over-year sales growth, with prices softening and inventory levels improving — signaling a transition toward a more balanced environment for both buyers and sellers.

At The Link Property Group, we combine data-driven insight with local expertise to help our clients make confident decisions in a market that’s finding its equilibrium. Whether you’re considering selling, buying, or investing in Houston real estate, understanding the latest trends is key to maximizing your strategy.

🏡 Single-Family Homes: Stability, Savings, and Sustained Demand

Sales Growth Continues
October 2025 saw 7,419 single-family homes sold, a 3.2% increase year-over-year — marking another strong month for Houston real estate. Pending sales jumped 13.1%, a clear signal that momentum is carrying into the year’s final quarter

Prices Level Out
The median price fell 1.5% to $330,000, while the average price remained nearly unchanged at $423,955. This modest correction offers buyers some relief after several years of double-digit appreciation.

For sellers, it’s worth noting that the average list-to-sale price ratio dipped to 92.6%, meaning pricing strategy and presentation are more critical than ever in today’s more selective market.

Inventory & Market Conditions
Active listings rose 25.7% year-over-year to 38,316 homes, bringing months of inventory up to 5.2 months — the highest level since before the pandemic. Homes are spending an average of 59 days on market, up slightly from 52 days a year ago.

💡 Expert Tip: Sellers who strategically price and professionally market their listings are still finding qualified buyers. Overpricing, however, often results in extended market times.

🏢 Townhomes & Condos: Cooling Prices Create Buyer Opportunity

While single-family homes saw growth, the townhome and condominium market cooled in October.

• Sales: Down 9.3% year-over-year (438 units sold)

• Median Price: Down 11.9% to $205,000 — the lowest since January 2023

• Average Price: Down 10.0% to $251,090

• Inventory: Rose 29.8% to 3,450 units, pushing supply to 8.3 months

For buyers — especially investors and cash purchasers — this presents opportunity. For sellers, this is the moment to focus on presentation, pricing precision, and lifestyle-driven marketing that highlights location, amenities, and upgrades.

📈 Market Context: Houston vs. the U.S.

While many national housing markets still lag behind pre-pandemic levels, Houston has officially surpassed 2019 home sales, up 3.2% vs. 2019 and 2.6% year-to-date.
In contrast, U.S. home sales remain down over 21% compared to pre-pandemic volumes

Houston’s resilience underscores its diverse economy, strong job market, and affordable cost of living — making it one of the healthiest large markets in the country heading into 2026.

💬 Expert Insight: What This Means for Buyers & Sellers

• For Buyers:
  Lower mortgage rates (now averaging 6.25%) and slightly reduced prices mean increased affordability. For a typical single-family purchase, monthly principal and interest payments dropped roughly $55/month, saving about $661 per year.
  This is a great time to lock in value before demand strengthens again.

• For Sellers:
  The market is more price-sensitive but still active. Proper staging, professional marketing, and realistic pricing remain essential to stand out among rising inventory.

• For Investors:
  Houston’s growing rental demand and softening entry prices make this a prime window for expanding portfolios, particularly in emerging suburban markets north of the city.

🔮 The Link Property Group’s Market Outlook

We anticipate Houston’s market will remain steady but selective through the end of 2025, with buyers continuing to regain leverage and sellers adjusting expectations to reflect a normalized pace.

✅ Buyers — Enjoy increased options and reduced competition.
✅ Sellers — Focus on quality presentation and pricing alignment.
✅ Investors — Capitalize on rising inventory and long-term appreciation potential.

🏁 Conclusion: Partner with Houston Market Experts

The October 2025 Houston housing market represents balance — not slowdown. This is the kind of market where strategy wins. Whether you’re buying your first home, listing your property, or exploring new construction opportunities, The Link Property Group is here to guide you with data, insight, and proven expertise.

📞 Ready to make your next move?
Let’s connect today to craft a strategy that fits your goals in Houston’s evolving market.