The U.S. housing market is constantly evolving, and property prices have generally trended upward over the years. However, certain markets, particularly in Texas, have recently experienced a decline in home values. Experts predict that several housing markets could see a plummet in value before the end of 2025.
In Dallas, Texas, affordability concerns have led to fewer buyers in the market, resulting in a potential price correction over the next 12 months. Similarly, the San Antonio housing market has seen a downward trend in home values due to a surge in new home construction, leading to supply outpacing demand. Austin, Texas, has also experienced a stabilization in prices after a pandemic-driven boom, and experts expect further declines as new developments emerge and interest rates remain high.
Interestingly, some markets, such as Phoenix, Arizona, and Boise, Idaho, have seen recent price hikes, but experts believe these markets could also see a decline in the coming years. Factors like high interest rates, an oversupply of homes, and a decrease in buyer demand are expected to contribute to the potential housing market downturns in these areas. While the future of the housing market remains uncertain, these six markets are among those that experts believe will lose value before the end of 2025.
