Houston home sales rose 6.8% year over year in May amid friendlier homebuying conditions, according to the Houston Association of REALTORS®.

The association called the rise in closings “a clear indicator of the ongoing shift toward a buyer’s market,” in its latest Housing Market Update.

Realtors closed 9,058 home sales during the month, up from 8,483 sales a year prior. Pending listings also rose 19.8% with 9,435 home sales, signaling strong sales in the next few months.

Active listings jumped 35% annually, with 37,455 homes on the market — the highest volume since September 2007.

Amid increased options, affordability also increased for buyers: The average home price declined 0.7% to $438,230 and the median decreased 1.2% to $339,425, while the average 30-year mortgage rate decreased to 6.82%. That means the typical monthly mortgage payment for May 2025 homebuyers was about $1,773, down from $1,839 in May 2024.

“With more homes to choose from and prices becoming a bit more favorable, people are definitely feeling more confident and getting back out there,” HAR Chair Shae Cottar said in a press release. “This shift signals to sellers that motivated buyers are engaged and eager to take advantage of the current market conditions.”

Cottar added that the association “[anticipates] this momentum will carry us into the summer months.”

Given the rate of sales, Houston had a 5.2-month inventory in May. That’s up 1.3 months year over year.