top of page
Search

What's New in DFW Residential Real Estate? Your Guide to a Shifting Market

The following report was generated using Gemini Deep Research, with "Thousands of homes: North McKinney sees growth in single-family housing projects" as the initial source.


Two houses with large windows under a vibrant sunset. Flags of the USA and Texas are raised. A manicured lawn and fence are visible.
The Highland Lakes development in north McKinney features homes built by Taylor Morrison and Pulte Homes. (Courtesy Highland Lakes)

As a real estate consultant serving Dallas County, Collin County, and the vibrant Dallas-Fort Worth (DFW) metroplex, understanding the pulse of the residential real estate market is paramount. The DFW area is undergoing a significant transformation, moving from a seller-dominated landscape to one that increasingly favors buyers. This shift, coupled with explosive growth in areas like North McKinney, presents unique opportunities and challenges for agents, investors, and clients alike.


North McKinney: A Hub of New Residential Real Estate


North McKinney is at the forefront of DFW's residential real estate boom. Driven by strategic urban planning, this area is seeing massive single-family housing projects like Painted Tree and Trinity Falls, collectively adding thousands of new homes. Permits for new single-family homes in McKinney surged by nearly 25% between 2023 and 2024, signaling robust development. This planned growth suggests a more stable long-term outlook, but also introduces considerations like properties within the Extra-Territorial Jurisdiction (ETJ), where city amenities may require additional payment.  


DFW's Shifting Residential Real Estate Landscape


The broader DFW housing market has decisively shifted to a buyer's market in 2025. We've seen a dramatic 53% surge in housing inventory across the metroplex, with 66% of homes selling below list price in March 2025. The median close price for Dallas homes in May 2025 was $399,000, a 2.21% decrease year-over-year. Collin County, a key area you serve, experienced a 5.3% decrease in median sales price to $483,000, with homes taking an average of 42 days to sell.  


Despite these price adjustments, DFW's underlying fundamentals remain strong. The metro area's population reached 6.7 million in 2025, with Collin County recognized as Texas's fastest-growing county. This consistent demographic and job growth (46,800 new jobs year-over-year in May 2025) is expected to prevent a housing collapse, indicating a healthy market rebalancing.  


Impact on You: Real Estate Agent, Investor, and Client


As a Real Estate Agent: Over 3 in 5 prospective homebuyers prefer new construction. This means specializing in new builds is crucial. Understand builder contracts, incentives (like interest rate buydowns), and warranties to advocate effectively for your clients. For existing homes, advise sellers on realistic pricing and consider updates to compete with new, energy-efficient properties.  


As an Investor: The buyer's market offers significant negotiating power. Focus on value acquisition and cash flow. Mid-range homes ($300K–$500K) in growth areas like Frisco/Prosper and Plano offer attractive cap rates. The "build-to-rent" sector is booming, especially in suburban markets like McKinney, catering to a growing demand for single-family rentals. The rental market is rebalancing with strong absorption, and rents are projected to rise, making rental properties a stable income stream.  


As a Client (Homebuyer/Seller):


For Homebuyers: You have more choices and less pressure. Leverage the increased inventory and longer days on market to negotiate favorable terms. While prices have cooled, DFW's long-term value proposition remains strong due to population and job growth.  


For Sellers: Be prepared for longer listing times and potential price adjustments. Strategic pricing and highlighting unique features of your existing home are key to standing out against new construction.  


Challenges and Outlook


Rapid growth brings challenges like traffic congestion (e.g., Highway 380) and school overcrowding in McKinney. However, significant infrastructure projects, like the Spur 399 expansion, are underway to address these issues and ensure long-term quality of life. Collin County continues to be ranked as a top place to live in Texas, underscoring the region's enduring appeal.  


The DFW residential real estate market is dynamic but resilient. By staying informed and adapting your strategies, you can effectively navigate this evolving landscape and capitalize on its opportunities.



References:

bottom of page