DFW Home Values Dip, But Equity Remains Strong

Most Dallas–Fort Worth homeowners saw their estimated values dip over the past year. Even so, many still hold strong equity gains and are starting to benefit from improving affordability.

Zillow’s latest data shows that about 87% of DFW homes saw their estimated value decline between October 2024 and October 2025. Across the country, 53% of homes saw similar declines, with the biggest drops in the West and South.

These figures are based on changes in the Zestimate, which uses public records, MLS data and owner input to estimate market value. It’s a helpful benchmark, but not a formal appraisal.

Long-Term Equity Still Strong

Short-term softening doesn’t erase years of appreciation.

The median U.S. home last sold 8.6 years ago and has gained about 67% in value since then. In Dallas, most homes have risen more than 50% since their last sale.

For many owners, this year’s decline looks more like a step back after the 2020–2022 surge than a loss of long-term value.

Inventory, New Construction and Affordability

North Texas supply has shifted in a big way.

Dallas now has more existing homes for sale than before the pandemic, with about 13% more resale listings than in 2018–2019. New construction has helped unlock that inventory and given buyers more choices across the market.

More options mean less intense bidding. Prices in Dallas have cooled faster than the national average, and mortgage payments are down nearly 6% from last year. Buyers now have more room to negotiate and more time to make decisions.

Overall, affordability is improving, even as values remain well above pre-pandemic levels.