El Paso Real Estate Market Update: December 2025 Numbers & What to Expect in 2026

The latest El Paso real estate market statistics from the Greater El Paso Association of Realtors give us a clear picture of where the market is headed in 2026. While the final months of 2025 were slower than usual, the data shows the market is already shifting — and momentum is building.

I’m reviewing month-over-month data, primarily covering September through December, and these numbers tell an important story for both buyers and sellers in El Paso.

El Paso Home Prices Continue to Rise

Despite slower activity at the end of the year, home prices in El Paso increased.

The median sales price in December 2025 was $274,950, representing a 3% month-over-month increase. Earlier in 2025, median prices were in the low $260,000s. Today, we’re approaching $275,000.

Even when homes were sitting longer, prices continued to climb — a strong signal that values are holding and demand remains solid. Buyers are no longer asking if the market will crash or if prices will drop. Like most costs of living, home price trends across the U.S. show values stabilizing at higher levels rather than retreating.

Closed Sales Increased at the End of 2025

December recorded 727 closed home sales, a 21% increase from November.

While December is typically a slow month for real estate activity in El Paso, this jump tells us the market began waking up right before the end of the year. Based on this trend, January and the first quarter of 2026 are expected to outperform December, and early activity already supports that.

El Paso Housing Inventory Tightened in December

Active inventory declined in December, which makes sense for two reasons:

• More homes sold

• Fewer homeowners list properties during the holidays

At the same time, many sellers indicated plans to list in January, February, and early spring, meaning inventory is expected to increase — but so is buyer demand.

According to national housing inventory data, supply remains tight in many markets, and El Paso continues to outperform larger metros in terms of demand stability.

Days on Market Still Favor Sellers

The median days on market was 34 days, up slightly month over month. Even so, homes selling in about one month is still considered very fast.

This tells us the El Paso market continues to experience pent-up buyer demand. Many buyers paused over the past two years due to interest rates, savings concerns, or economic uncertainty — but that demand never disappeared.

With mortgage rates lower than they were a few months ago, buyers are becoming more active. Data from Freddie Mac’s Primary Mortgage Market Survey shows rates easing compared to 2023 highs, and that relief is already translating into increased showings and offers.

El Paso is not a balanced market. A balanced market would typically see homes sitting 90 days or longer. We remain firmly in a seller-leaning market, even when activity feels uneven.

Price Per Square Foot Continues to Increase

Another strong indicator of market health is price per square foot, which rose to $163 per square foot in December.

This metric has steadily increased throughout 2025 and continues into 2026, reinforcing that home values in El Paso are appreciating — not stagnating.

El Paso Real Estate Market Outlook for 2026

Looking ahead, several factors point to increased activity in 2026:

• More buyers entering the market

• More listings coming online

• Improved affordability compared to recent months

We’re also seeing homeowners who locked in ultra-low rates in 2020–2021 choosing to sell. Life changes — job moves, growing families, relocations — are prompting sellers to move forward even if it means giving up a lower rate. Moving from 3% to the mid-5% range feels far more manageable than it did a year ago.

Economic indicators suggest real estate activity could increase by roughly 14% in 2026, and the market already feels stronger than it did at this time last year.

After some of the toughest years the industry has seen in decades, El Paso real estate is past the slowdown and gaining momentum.

Thinking About Making a Move in 2026?

Here’s the question to ask yourself:

If the right home came on the market this weekend, would you be ready to buy it?

If not, now is the time to prepare. Working with an experienced El Paso real estate professional can help you build a strategy, understand your options, and position yourself before competition increases.

If you’re planning to buy or sell in 2026, I’d be happy to help you get ready.