The pace of new-home sales increased in Houston for the fifth month in a row, according to the latest report from HomesUSA.com.

The typical new home sold in September stayed on the market for 96 days, down from 97 days in August but up one week from September 2025, when typical new homes sold in 89 days.

New-home sales fell 6.9% from August to September, declining from 1,862 to 1,733, and dropped 13.6% from 2,005 in September 2025. Pending sales also decreased, falling 4.6% month over month from 1,616 to 1,542 and 22.5% year over year.

“September’s new-home sales and pending sales decline follows normal seasonal expectations, but the slowdown is more pronounced than usual, no doubt because mortgage interest rates are moving in the wrong direction,” said Ben Caballero, CEO of HomesUSA.com. “With mortgage rates pushing 7.5%, and 8% on the horizon, the challenges facing the Houston builders and buyers are a serious concern.”

The average new-home price declined 1.9% month over month but increased 1% year over year to $406,408.

Active listings, meanwhile, decreased 0.3% from August, from 16,133 to 16,092, and decreased 0.6% year over year.

“Houston builders are a resourceful lot that can adjust to changing market conditions. They have dealt with lower prices and slower sales before, but it takes its toll,” Cabellero added. “In all my years in real estate, I don’t recall the rate of consolidation that has occurred this year. Time will tell if that is due to market stress or a developing trend.”