Home prices in Dallas, Plano and Irving slipped 1.3% year over year between May 2024 and May 2025, according to the latest data from First American Data & Analytics.
While the national HPI rose 2.1% year over year, North Texas cities saw a rare downturn, placing the region slightly out of step with broader U.S. trends.
A Monthly Slide
From April to May 2025, home prices across North Texas fell 0.5%. That monthly decline followed a longer trend of softening prices, resulting in the 1.3% annual drop.
By contrast, home prices nationally ticked up 0.4% month over month, reinforcing the relatively sluggish performance of the North Texas housing market.
Home Price Trends From Starter to Luxury
The HPI also breaks down home sales into three price tiers — starter, mid and luxury — based on the local market’s price distribution. While specific tier-by-tier changes weren't published in the summary data, the broader metro-level decline suggests that price pressures may be present across all market segments.
A Cooling Period for a Red-Hot Market
After years of rapid growth, Dallas, Plano and Irving may be undergoing a modest correction. This dip doesn’t necessarily indicate a market crash but rather a potential rebalancing after years of high demand, tight inventory and rising interest rates.
But the slowdown may not be a bad thing. As cities grapple with booming populations, some are struggling to keep up. As Local Profile previously reported, the region’s rapid expansion created waves of new job opportunities and spurred economic development. But for many residents, the unprecedented growth has come with some growing pains: more traffic, strained water supplies, overcrowded schools and increasing pressure on city services.
North Texas isn’t just growing, it’s transforming. As the nation’s fastest-growing region, it’s attracting new residents, businesses and investment at a breakneck pace — with Collin County at the center. But May's HPI report serves as a reminder that even booming markets experience occasional slowdowns.
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