Is December 2025 the Best Time to Buy a Home in Texas? The Data Says Yes.

Most potential homebuyers in Texas are focused on holiday travel and year-end lists right now. But if you look at the actual housing data released this month, a different story emerges—one that suggests waiting until Spring 2026 might be a costly mistake.

At MJ Mortgage LLC, we analyzed the latest market reports from Norada Real Estate Investments and Redfin to get a clear picture of where the Texas market stands.

The consensus? The aggressive “Seller’s Market” of the last few years has officially thawed. Here is why savvy buyers are making their move in December.

1. Texas Inventory Has Hit a 5-Year High

According to the latest data from Norada Real Estate Investments, Texas housing inventory has risen to approximately 5.5 months of supply as of late 2025.

Why does this matter for you?

The Shift: A “balanced market” is typically considered 4-5 months of supply. Anything above that shifts leverage back to the buyer.
The Leverage: For the first time in years, we aren’t just seeing “more” homes; we are seeing enough inventory to make sellers nervous.
The Opportunity: High inventory means homes are sitting on the market longer (often 60+ days). This “stale” inventory is your golden ticket to negotiating price reductions and repair credits that were impossible to secure just 12 months ago.

2. Mortgage Rates Have Stabilized

While many buyers are waiting for rates to drop back to 3% (which may never happen), smart buyers are focusing on stability.

Recent reports from Redfin and Fannie Mae indicate that the 30-year fixed mortgage rate has leveled out in the 6.3% range for December 2025.

While rates remain elevated compared to 2021, this stability allows for accurate financial planning. More importantly, it has cooled the “bidding war” culture. The data suggests that the “lock-in effect” (sellers refusing to sell due to low rates) is easing, bringing more move-up inventory onto the market.

3. The December Strategy

When you combine high inventory with stable rates, the strategy for December 2025 becomes clear. You have the leverage to negotiate a lower purchase price today while competition is low.

If you wait for rates to drop to 5.5% in the Spring, buyer demand will likely spike. That $450,000 home you are looking at today could cost you $480,000 next year due to renewed bidding wars.

How to Structure Your Offer This Month:

Target “Days on Market”: Filter your search for homes listed for 60+ days. These sellers are often fatigued and motivated to close before the tax year ends.
Request a 2-1 Buydown: Instead of just asking for a price cut, ask the seller to pay for a “2-1 Buydown.” This concession lowers your interest rate by 2% for the first year and 1% for the second year, significantly reducing your monthly payment.
Keep Your Inspection Contingency: In a hot market, buyers waive inspections. In December 2025, you have the power to keep your inspection and negotiate repairs.

Why Who You Finance With Matters

In a market that requires precision—especially with year-end tax deadlines—you need a partner who can move fast.

Many buyers assume big retail banks are the safest route, but they often lack the agility required for holiday closings. As a local Mortgage Banker based in Magnolia, TX, Sal Trapani and the team at MJ Mortgage LLC operate differently:

✅ Local Control: We handle the process in-house. We don’t send your file to a corporate processing center three states away.
✅ Speed: We can move faster than big box banks, ensuring you meet your closing date.
✅ Trust: With 40+ 5-Star Google Reviews, we are known for being trustworthy, dependable, and transparent.

The Bottom Line

Don’t let the holidays distract you from the best buying window we have seen all year. The data proves the opportunity is there; you just need a team that knows how to execute.

Ready to see what you qualify for before 2026? Contact Sal Trapani at MJ Mortgage LLC today for a smooth and seamless loan process.

Click Here to get Pre-Approved Now

Sal Trapani
Mortgage Banker & Owner
MJ Mortgage LLC

281-608-2846 | sal@mjmortgagellc.com
33130 Magnolia Circle
Magnolia, TX 77354

Texas Housing Market Update Dec 2025: Why It’s a Buyer’s Market | MJ Mortgage