2025 Key Trends for Buyers and Sellers - The DFW Real Estate Market Outlook for Spring

Hello, Fort Worth friends! I'm Gigi Pendleton, your local Realtor, here to share the latest insights as we head into spring—a season that’s synonymous with blooming flowers, fresh starts, and peak real estate activity. If you're considering buying or selling a home this year, you might be wondering: What's the outlook in the real estate market for 2025? Well, the DFW Real Estate Market Outlook is promising for both buyers and sellers. Let’s dive into the highlights.

Interest Rates

Interest rates remain a focal point for buyers and sellers alike. With mortgage rates hovering around 6% this year—equating to a principal and interest payment of $1,799 for a $300,000 home—buyers must plan for slightly higher monthly payments compared to previous years. Meanwhile, sellers should consider affordability when setting asking prices, as buyers may be more budget-conscious due to the impact of rising rates on their purchasing power. Mortgage rates are expected to keep mortgage payments essentially unchanged in 2025 despite continued home price growth. 1

Home Prices

Although home prices have soared in recent years, this spring we're seeing a stabilization in many markets. 2 Some higher-priced areas may experience slight declines, creating opportunities for buyers who were previously priced out. 3 Sellers will want to work with their Realtor to set competitive prices that attract today's cautious buyers while maximizing returns.

Spring 2025 DFW Real Estate Market Outlook:

Locally, in the DFW area, houses are staying on the market for about 47 days before going under contract—a slight uptick compared to the more brisk pace we’ve seen in past years. Inventory remains tight coming out of the winter season, which often creates an advantage for sellers in high-demand neighborhoods.

The average sales price for previously owned homes in February was $452,000, reflecting a 2% increase compared to February 2024. To put that into perspective, a 2% rise adds approximately $7,000 in value to a $350,000 home. For sellers, this is encouraging news if you're considering listing your property this spring. For buyers, it means that waiting could result in paying more for your home, especially as prices often see further increases during the summer months, a traditionally busy time for the housing market.

Impact of Interest Rates

Over the last 12 months, interest rates have remained relatively stable, ranging from an monthly average low of 6.2% to slightly above 7%. For buyers, that .8% difference can mean an additional $185 per month on a $350,000 loan. Planning ahead and working with a trusted lender can help you navigate these rates effectively.

Homestead Exemption Updates

Here’s one of the biggest updates for Texas homeowners in the past year: the passage of Proposition 4 in 2023. This legislation raised the homestead exemption from $40,000 to $100,000, offering significant tax relief. For the average Texas homeowner, this change amounts to approximately $1,300 in annual savings—a welcome benefit as property taxes remain a key consideration for homeowners across the state.

Builder Incentives and Design Trends

Homebuilders continue to offer attractive incentives for new homes, including lower down payments, lower interest rates and closing cost assistance. As for design trends, features like open spaces, larger windows, and nature-inspired elements are in high demand, prioritizing comfort and functionality. New construction can be an attractive option for homebuyers as they bring some key advantages: 6

• Some developers will throw in extras in order to get a sale.

• New homes rarely need repairs/renovations.

• Some new-construction homes may be customizable.

• Lower maintenance costs.

• Most new-construction homes have warranties.

• A new-construction home will be up to code.

• There may be buyer incentives for financing.

• It will have a more modern floor plan.

• Better energy efficiency.

• Availability of special offers and incentives.
  

Thinking about buying a home this year? Let’s discuss your budget and financial goals, and connect you with a trusted lender who can help you explore loan options, lock in competitive rates, and navigate the pre-approval process. Taking this important first step sets the foundation for a smoother and more successful home-buying journey!

Your Free Home Valuation Report

Thinking about selling? Understanding your property’s current value is a vital first step. I’m offering a free home valuation report to help homeowners uncover insights into their property’s worth. With this valuable tool, you’ll be equipped to make informed decisions about pricing and timing in today’s market.

Spring is a season of change, growth, and opportunity—and the real estate market is no exception. Whether you’re buying or selling, I’m here to guide you every step of the way. Feel free to reach out to me, Gigi Pendleton, your trusted Fort Worth Realtor. Let’s make your homeownership dreams a reality!

Happy house hunting—or selling!

References:

1. HousingWire - Mortgage Rate Insights: 2025 Projections - HousingWire's mortgage rate forecast for 2025

2. Realtor.com - Real Estate Market Trends for 2025 - Realtor.com 2025 Housing Forecast - Realtor.com Economic Research

3. National Association of Realtors - https://www.nar.realtor/real-estate-today/the-2025-spring-real-estate-market

4. Freddie Mac Historical Interest Rates - https://www.freddiemac.com/pmms

5. NTREIS – Custom analysis of local housing market trends

6. Realtor.com - Pros and Cons of Buying a New Construction Home