Houston’s housing market has flipped the script in 2025. After years of buyers scrambling over limited inventory, we’re now sitting at over 40,000 active listings: a massive 38.2% jump from last year. If you’ve been waiting for your chance to find the perfect home without getting into bidding wars, this is your moment.

The numbers tell the story: we’ve gone from 4.2 months of inventory to 5.5 months, and homes are staying on the market for 50 days instead of the lightning-fast 45 we saw before. Nearly 28% of listings now include price cuts, and the median home price has settled at $339,000. Translation? Buyers finally have the upper hand again.

But here’s the thing: having more options doesn’t automatically make you a smarter buyer. You still need a game plan to navigate this new landscape effectively. Whether you’re a first-time buyer or looking to upgrade, these five steps will help you capitalize on Houston’s current market conditions.

Step 1: Lock in Your Pre-Approval Now

Before you start browsing listings, get your financing squared away. With mortgage rates sitting around 6.7% for 30-year loans, they’re actually in a sweet spot compared to where they’ve been. But rates won’t stay here forever, and having a pre-approval letter shows sellers you’re serious business.

In today’s market, sellers are dealing with more competition from other listings, so they’re more motivated to work with buyers who can close smoothly. Your pre-approval isn’t just about knowing your budget: it’s your ticket to the negotiating table.

Step 2: Embrace the Luxury of Time

Remember when you had to make an offer sight unseen just to stay competitive? Those days are over. With homes averaging 50 days on the market, you can actually take time to do your homework. Visit properties multiple times, check out the neighborhood at different hours, and really evaluate whether a home meets your needs.

This extended timeline means you can be picky. Look at flood maps, research the schools, talk to potential neighbors, and get a real feel for the area. With 40,000+ listings to choose from, there’s no need to settle for “good enough.”

Step 3: Hunt for Value and Negotiate Hard

Here’s where the market shift really works in your favor. With 28% of listings showing price cuts, sellers are clearly adjusting their expectations. If a home has been sitting for weeks, don’t be afraid to come in below asking price.

The sweet spots right now are in the affordable segments. Homes under $100,000 saw sales jump 26.3%, while the $100,000-$149,000 range surged 39.1%. These price points offer solid rental demand if you’re thinking investment property, or great starter home potential if you’re buying to live in.

Look for these red flags that signal motivated sellers:

• Multiple price reductions
• Homes that have been listed for 60+ days
• Properties with vague or outdated listing photos
• Sellers who are already relocated or facing time pressure

Step 4: Think Long-Term, Not Short-Term Timing

While prices have softened, Houston’s fundamentals remain rock solid. The city keeps growing, jobs keep coming, and population keeps increasing. Rather than trying to catch the absolute bottom of the market, focus on finding a property that makes sense for your five to ten-year plans.

Properties priced below the median often present the best opportunities. You’re not just buying a home: you’re making a long-term investment in one of the strongest housing markets in Texas.

Step 5: Don’t Be Shy About Repairs and Concessions

In the old market, asking for repairs was a great way to lose a deal. Now? Sellers expect it. Use your inspection period strategically to identify issues and negotiate fixes or credits.

With inventory this high, sellers know they can’t just move on to the next buyer as easily. Take advantage of this leverage to ensure you’re getting a property in good condition without having to waive important protections.

Common concessions you can now request:

• Closing cost assistance
• Home warranty coverage
• Major system repairs or updates
• Credits for cosmetic improvements

What This Market Shift Means for Sellers

If you’re thinking about selling, the game has changed significantly. Homes still close at 98% of asking price on average, but that only applies to properties priced correctly from the start. The “price high and negotiate down” strategy is dead.

Here’s what successful sellers are doing differently:

Getting Real About Pricing: Study recent comparable sales carefully and price realistically from day one. A $10,000 price cut after three weeks on the market accomplishes far less than launching at the right price initially.

Investing in Presentation: With 40,000+ options available to buyers, your home needs to stand out immediately. Professional photography, light staging, and a thorough pre-listing clean are non-negotiable investments that deliver better returns than reactive price cuts.

Adjusting Timeline Expectations: The median time to contract in Greater Houston is now 56 days, with some suburban markets like Katy and Cypress often requiring closer to 60 days. Build this timeline into your moving plans so everything aligns properly.

The sellers who are thriving right now understand that this isn’t a broken market: it’s a balanced market that rewards preparation and realistic expectations.

Ready to Make Your Move?

Whether you’re buying or selling, navigating Houston’s current market requires local expertise and strategic thinking. The opportunities are real, but so is the need for professional guidance to maximize your advantage.

At Bexley Realty Group, we’ve been helping Houston area families navigate market shifts for years. Our team understands the nuances of each neighborhood and can help you identify the best opportunities in today’s inventory-rich environment.

Ready to explore your options? Visit BexleyRealtyGroup.com or call us directly at 832-648-2492. Let’s turn this market shift into your competitive advantage.

#HoustonRealEstate #BuyersMarket #HoustonHomes #RealEstateInvesting #BexleyRealtyGroup

The Bottom Line

Houston’s surging inventory represents a fundamental shift back to a more balanced market. For buyers, this means more options, better negotiating power, and the luxury of time to make informed decisions. For sellers, success requires realistic pricing, strong presentation, and patience.

The key is understanding that more inventory doesn’t mean a weak market: it means a normal market where preparation and strategy matter more than speed and desperation. Whether you’re buying your first home or your fifth investment property, this environment rewards those who do their homework and work with experienced professionals who understand the local landscape.