The North Texas real estate market continues to demonstrate resilience and evolution as we move through 2025, with Plano, Dallas, and Allen standing out as three of the region’s most sought-after communities. Whether you’re a first-time homebuyer, looking to upgrade, or considering an investment property, understanding the current median home prices in these cities is essential for making informed decisions.

Market Snapshot: 2025

Plano, Texas

Plano’s housing market shows interesting dynamics in 2025, with median home prices around $500,000 to $530,000 depending on the source and time of year. The city continues to attract buyers with its excellent schools, strong job market, and family-friendly atmosphere.

Key Plano Market Metrics (October 2025):

• Median Sale Price: $500,000 (down 5.4% year-over-year)
• Average Home Value: $518,080 (Zillow)
• Price per Square Foot: $215, down 3.2% since last year
• Days on Market: 56 days on average
• Homes Sold in October: 215 homes
• Current Inventory: Increased significantly, with homes selling about 3% below list price

Plano’s market has cooled from its peak but remains competitive, with homes typically receiving 2 offers on average. The increase in inventory and longer days on market has shifted conditions slightly in favor of buyers, though the city’s excellent schools and amenities continue to support strong demand.

Dallas, Texas

Dallas shows a relatively stable housing market with a median sale price of $435,000 as of October 2025, making it more accessible than its northern neighbors while still offering urban amenities and diverse neighborhoods.

Key Dallas Market Metrics (October 2025):

• Median Sale Price: $435,000 (flat year-over-year at 0.0%)
• Average Home Value: $315,056 (Zillow, down 4.6% over the past year)
• Price per Square Foot: $248, up 4.6% since last year
• Days on Market: 57 days on average
• October 2025 Sales: 835 homes sold (down from 900 last year)
• Homes sell for about 3% below list price on average

The Dallas market has achieved notable stabilization after years of rapid appreciation. While median prices have held steady, the significant increase in inventory (up over 37% in some reports) and longer days on market have created more favorable conditions for buyers. The metroplex area median is around $399,000 to $435,000 depending on the specific neighborhood.

Allen, Texas

Allen represents a premium segment of the North Texas market, with median sale prices around $510,000 to $537,000 as of mid-to-late 2025, reflecting the city’s reputation for exceptional schools and strong community amenities.

Key Allen Market Metrics (July-October 2025):

• Median Sale Price: $510,000 to $537,000 (up 3.1% year-over-year)
• Average Home Value: $517,494 (Zillow, down 1.6% over the past year)
• Price per Square Foot: $220 to $226, varying by source
• Days on Market: 51-61 days on average
• Homes sell for about 2-3% below list price
• August 2025 Sales: 531 homes sold

Allen maintains its status as a desirable market, though like its neighbors, it has seen increased inventory and slightly longer selling times. The city’s highly-rated school district and master-planned communities remain major draws for families, supporting home values despite broader market cooling.

What’s Driving the Market in 2025?

Several factors are shaping the current real estate landscape across these three cities:

Economic Growth: The Dallas-Fort Worth metropolitan area experienced strong job growth in early 2025, with the region continuing to lead the nation in new housing development, authorizing 71,788 new housing units in 2024 alone.

Corporate Relocations: Major companies continue choosing the DFW area for headquarters and regional offices, creating consistent housing demand as new employees seek homes in quality communities.

Interest Rates: Mortgage rates have steadied around 6.75% to 6.8% in mid-2025, remaining elevated compared to pandemic-era lows. Forecasts suggest rates may average 6.4% in the second half of 2025 and potentially drop to 6.1% in 2026.

Inventory Surge: The most significant change in 2025 has been the dramatic increase in inventory across all three cities. Dallas County saw inventory jump over 37%, while Collin County (which includes Plano and Allen) experienced similar increases, fundamentally shifting market dynamics toward more balanced conditions.

Market Cooling: After years of rapid appreciation, all three markets have cooled considerably. Homes are staying on market longer (44-80 days compared to pre-2024), sellers are canceling listings rather than accepting lower prices, and buyers have regained negotiating power.

Comparing the Three Markets

When looking at these three cities side-by-side, clear distinctions emerge:

Most Affordable: Dallas offers the most accessible entry point at around $435,000 median, appealing to first-time buyers and those seeking urban living with access to city amenities.

Best Balance: Plano strikes a middle ground at approximately $500,000 to $530,000, offering suburban amenities, excellent schools, and a strong community infrastructure with slightly better affordability than Allen.

Premium Market: Allen commands prices of $510,000 to $537,000, justified by its top-rated schools (Allen ISD), newer master-planned communities, and family-focused environment.

Price Per Square Foot Comparison:

• Dallas: $248/sq ft
• Plano: $215/sq ft
• Allen: $220-226/sq ft

The interesting dynamic is that while Dallas has the lowest median price, it actually has the highest price per square foot, reflecting smaller lot sizes and more urban-style housing.

What This Means for Buyers and Sellers

For Buyers: The 2025 market presents the best opportunities in years. With increased inventory, longer days on market, and homes selling 2-3% below list price on average, buyers have more time to make decisions and significantly greater negotiating power than during the 2021-2022 frenzy. Multiple-offer situations are less common, and the pressure to waive contingencies has eased considerably.

For Sellers: While the market has cooled from its peak, conditions remain reasonably favorable in all three cities. Properly priced homes in good condition are still selling within 50-60 days. However, sellers must be more strategic with pricing and presentation than in previous years. The data shows that many sellers are choosing to cancel listings rather than reduce prices, waiting for more favorable conditions.

Looking Ahead: 2026 Forecast

As we look toward 2026, national forecasts predict median home prices will increase approximately 4%, with mortgage rates potentially dropping to around 6.1%, which could stimulate increased buyer activity. The North Texas market is expected to continue its trajectory of steady, moderate growth rather than the explosive appreciation seen in previous years.

The fundamentals supporting these three markets remain strong: job growth, population increases, limited land availability, and quality of life factors continue to drive demand. As the market matures and stabilizes, buyers and sellers can expect more balanced conditions with reasonable appreciation and improved affordability compared to the peak years.

Making Your Move

Whether you’re considering Plano’s balanced suburban lifestyle, Dallas’s urban energy and diversity, or Allen’s communities with award-winning schools, understanding current median prices is just the starting point. Each city offers distinct advantages, and the “best” choice depends on your personal priorities, budget, and long-term goals.

Working with experienced local real estate professionals who understand the nuances of each market is essential. They can help you navigate inventory, pricing strategies, and neighborhood differences to find the perfect home for your needs.

The North Texas real estate market continues to be one of the nation’s most dynamic, offering opportunities for buyers and sellers alike. With median prices ranging from $435,000 to $537,000 across these three major cities, there’s a home and a community to fit various budgets and lifestyles in this thriving region. The 2025 market shift toward more balance presents unique opportunities for those ready to make their move.

To find your Dallas dream home, contact Kimber Fox at Texas Pride Realty Group HomeSmart Stars.

To find your Allen dream home, contact John Turner-McClelland at Texas Pride Realty Group HomeSmart Stars.

To find your Plano dream home, contact any agent at Texas Pride Realty Group HomeSmart Stars.