Houston’s new-home market is “finding its footing,” according to the New Home Sales Report from HomesUSA CEO Ben Caballero. New-home sales dropped from 1,875 closings in July to 1,760 closings in August, with pending sales down month over month as well.

“Considering the interest rate headwinds and market seasonality, the Houston new home market is finding its footing,” Caballero said in the report. “By every measure — days on market, sales activity and average prices — new home numbers are stabilizing yet remain impressive.”

New-home prices fell in all four of the largest Texas markets last month, including Houston. The average new home price fell to $424,368, compared to $4,27,191 a month prior.

Active new-home inventory remained stable throughout the month with 11,342 new homes on the market, up from 11,162 listings in July. Meanwhile, days on market dropped to 99.18 days in August after 102.97 days in July.