Texas continues to be a beacon of opportunity for real estate agents, and as of mid-2025, the state’s housing market is showing no signs of slowing down. With its strong population growth, thriving job market, and a variety of booming metro areas, Texas is one of the best places for real estate professionals to thrive.
Using the latest market data and economic trends, we’ve identified the five hottest real estate markets in Texas where agents can prosper. Whether you’re already working in Texas or planning to expand your business to the Lone Star State, these cities are ready to deliver opportunities.
Key Takeaways
- Texas’ Real Estate Boom: Rapid urbanization, job growth, and population increases make Texas one of the top markets for real estate professionals this year.
- Major Metro Areas Lead the Way: El Paso, Houston, Austin, San Antonio, and Dallas showcase the strongest market dynamics.
- Opportunities Abound: Strategic focus on key neighborhoods with rising demand can lead to higher income growth for agents.
- Stay Competitive: Success in these markets requires leveraging digital tools, continued education, and targeted marketing strategies.
Introduction to the Texas Real Estate Market
Recently, a REALTOR.com report predicted that Texas will become the largest state in population by 2045. Of course, increased numbers mean a greater need for homes. Consequently, Texas was the No. 1 state for permitted housing units in 2024, accounting for 15% of the national total.
Here’s the current state of the Texas housing market:
- Average Home Value: $306,581 (down 1.9% YoY) (Zillow, July 2025)
- Median Days to Pending: 30 (Zillow, July 2025)
- Months of Inventory: 4 months (Redfin, July 2025)
- Homes for Sale: up 19% YoY (Redfin, July 2025)
While this state-wide data is compelling, it’s critical that you understand the local Texas real estate market in which you plan to work as an agent. Here are the top five markets.
1. El Paso, TX
El Paso remains one of the most consistent and competitive real estate markets in Texas. With steady population growth and an affordable cost of living, this city attracts first-time buyers, military families, and retirees alike.
Key Opportunities in El Paso
- West Side (Franklin Hills, Cimarron): This area features high-end real estate and is located near excellent amenities, including shopping centers and top-rated schools.
- Fort Bliss Area: The steady increase in military relocations is driving strong housing demand, making it a great area for agents who specialize in VA loans.
- Downtown Revitalization: Downtown El Paso is experiencing ongoing mixed-use development and rising property values, creating strong investment opportunities.
Local Market Snapshot
- Median Home Price: down 2.0% YoY (Redfin, July 2025)
- Number of Homes Sold in May 2025: 551, steady YoY (Redfin, July 2025)
Real Estate Agents’ Average Income: $99,638 (Indeed, July 2025)
2. Houston, TX
Houston’s diverse economy continues to support its real estate boom. Known as the energy capital, this city offers significant opportunities for both residential and commercial real estate. Additionally, a high concentration of younger families and international residents drives demand.
Key Opportunities in Houston
• The Heights: This neighborhood features rapidly appreciating historic properties that offer strong urban appeal.
• Pearland: The area is experiencing strong growth in suburban housing developments, making it an ideal location for families.
• Downtown Houston: The rental market is thriving, particularly among young professionals and investors seeking luxury rentals.
Local Market Snapshot
- Median Home Price: down 5.6% YoY (Redfin, July 2025)
- Number of Homes Sold in May 2025: 2,070, down 0.24% YoY (Redfin, July 2025)
Real Estate Agents’ Average Income: $99,449 (Indeed, July 2025)
3. Austin/Round Rock, TX
Austin continues to stand out due to its thriving tech industry and continued migration from other states. While home prices in Austin remain some of the highest in Texas, the demand across nearby suburbs like Round Rock is steadily growing, presenting real estate professionals with diverse opportunities.
Key Opportunities in Austin/Round Rock
- Downtown Austin: There is high demand for condos in this area, especially among tech executives and professionals.
- East Austin: The neighborhood is undergoing revitalization, with modern developments offering strong appreciation potential.
- Cedar Park & Leander: These are family-friendly communities that are ideal for suburban homebuyers.
Local Market Snapshot
- Median Home Price: down 5.0% YoY (Redfin, July 2025)
- Number of Homes Sold in May 2025: 861, down 12.1% YoY (Redfin, July 2025)
Real Estate Agents’ Average Income: $99,449 (Indeed, July 2025)
4. San Antonio/New Braunfels, TX
San Antonio and New Braunfels boast affordability compared to Austin but share equally robust market growth. A strong military presence and ongoing development projects attract a range of buyers, from families to investors.
Key Opportunities in San Antonio/New Braunfels
- Stone Oak: This is a premier luxury community known for its high-end properties.
- Downtown San Antonio: The area offers urban living with strong demand for rental properties.
- Gruene (New Braunfels): The neighborhood features growing residential developments and a rich cultural appeal.
Local Market Snapshot
- Median Home Price: up 2.2% YoY (Redfin, July 2025)
- Number of Homes Sold in May 2025: 1,175, down 0.34% YoY (Redfin, July 2025)
- Real Estate Agents’ Average Income: $79,608 (Indeed, July 2025)
5. Dallas/Fort Worth/Arlington, TX
With its booming job market and constant influx of new residents, the Dallas-Fort Worth metroplex remains a top contender in Texas real estate. The area excels in providing a mix of luxury and affordability, making it a go-to for agents targeting diverse demographics.
Key Opportunities in Dallas/Fort Worth/Arlington
- Uptown Dallas: This area is a hub for luxury condos and attracts many urban professionals.
- Plano & Frisco: The presence of corporate headquarters has significantly increased housing demand among families.
- Arlington: The city offers affordable housing options with high rental demand due to popular entertainment destinations like AT&T Stadium.
Local Market Snapshot
- Median Home Price: down 5.8% YoY (Redfin, July 2025)
- Number of Homes Sold in May 2025: 996, down 9.37% YoY (Redfin, July 2025)
- Real Estate Agents’ Average Income: $90,508 (Indeed, July 2025)
Tips for Succeeding as a Real Estate Agent in Texas
Are you ready to become a real estate agent to take advantage of these hot markets? First, familiarize yourself with the Texas real estate agent license requirements. Then, consider the following tips for success.
1. Build a strong network
Success in Texas real estate depends on strong connections. Attend industry events, join local real estate associations, and network with mortgage lenders, home inspectors, and other professionals to generate referrals and stay informed about market trends.
2. Leverage technology and social media
Utilize digital marketing tools, such as social media, virtual tours, and real estate CRM software, to effectively reach potential buyers and sellers. Platforms like Instagram, Facebook, and LinkedIn can help showcase listings and build your brand.
3. Select a top real estate school for pre-licensing courses
You must take 180 hours of coursework to sit for the Texas real estate exam. You can get started with your real estate classes immediately when you choose Colibri Real Estate as your real estate school.
Colibri Real Estate offers at-your-own-pace real estate classes designed to help you pass your real estate exam the first time you take it. We offer a Pass or Don’t Pay Guarantee, which means you can move quickly and take advantage of the hottest real estate markets in Texas before 2026!
