If you’ve been sitting on the sidelines wondering if the window has permanently closed on buying a home in Katy, here’s some news worth reading.
According to new research from First American, housing affordability improved in all 50 states over the past year, and in 48 of the top 50 metro markets. That’s not a typo. Every single state saw improvement. By the end of 2025, affordability had reached its strongest footing in nearly three years, with its Real House Price Index showing nearly a 9% improvement compared to a year ago – the tenth straight month of year-over-year gains.
So what actually changed?
Three things moved the needle: rising household incomes, modest shifts in mortgage rates, and, in many markets, an increase in available inventory that helped ease price pressure. Consumer house-buying power increased 10% year over year. When incomes grow faster than home prices, buyers gain ground – even if it doesn’t feel dramatic in the moment.
What does this mean for the Katy and West Houston market?
Texas has been one of the standout stories nationally. Markets where inventory has been building have seen the strongest affordability gains – and that dynamic is playing out across the Houston metro, including Katy and West Houston.
That doesn’t mean homes are cheap. It means the squeeze that locked so many buyers out over the last few years is loosening – gradually, but genuinely.
Should you wait for it to get even better?
Maybe. But here’s the thing about waiting for “perfect” in real estate – it rarely shows up wearing a name tag.
Early 2026 data suggests the improvement has continued into the new year. If you’ve been waiting for a signal that conditions are shifting in buyers’ favor, this is probably the closest thing to one you’re going to get.
If you want to know what this shift actually looks like for your specific situation your budget, your target neighborhoods, your timeline — that’s exactly the kind of conversation I love having.
