Texas Residential Construction Snapshot: March 2026

Last month, residential construction in Texas delivered a familiar yet informative snapshot of market momentum across the state’s four major metropolitan regions (Houston, Dallas, Austin, and San Antonio). Drawing from HBW’s building permit data, this monthly review highlights statewide totals, regional performance, and county-level concentrations to help construction professionals benchmark activity and identify emerging patterns in market demand.

Across the four metro areas, Texas recorded 7,241 new residential construction permits in March, representing a robust level of activity consistent with seasonal expectations. The combined construction value exceeded $2.3 billion, and the average value of new construction statewide hovered near the mid-$300s, reflecting a market that continues to balance volume with rising material and labor costs.

While statewide totals provide a useful macro-level view, the regional breakdown reveals the layered dynamics shaping the residential sector of the Lonestar State:

Houston

  • Total Permits: 3,639
  • Total Value: $1,073,807,941
  • Average Value: $295,083
  • Leading Counties: Harris County (1,565 permits); Montgomery County (1,097 permits)

Houston once again dominated statewide activity, accounting for roughly half of all new residential permits issued in March. This is consistent with long-term trends, as Houston’s expansive suburban growth corridors and large-scale master-planned communities continue to drive high-volume construction. Although Houston led in total permits and total value, its average value of construction remained below that of Dallas and Austin, reflecting the region’s broader mix of entry-level and mid-market housing.

Dallas

  • Total Permits: 1,912
  • Total Value: $707,229,329
  • Average Value: $369,890
  • Leading Counties: Tarrant County (769 permits); Collin County (587 permits)

Dallas continued to perform on the higher end of the spectrum in terms of average construction value, supported by strong activity in Tarrant and Collin counties—two of the region’s most rapidly developing residential markets. While Dallas did not match Houston’s volume, its higher-value projects reflect a market characterized by elevated land costs, more complex design standards, and a strong appetite for move-up and luxury residential products.

Austin

  • Total Permits: 941
  • Total Value: $349,077,726
  • Average Value: $370,965
  • Leading Counties: Travis County (453 permits); Williamson County (338 permits)

Austin secured the highest average value of new construction statewide, edging out Dallas by a narrow margin; this aligns with Austin’s ongoing trend toward higher-end residential development. Travis and Williamson counties accounted for the majority of new permits issued for the one-month period.

San Antonio

  • Total Permits: 749
  • Total Value: $195,990,341
  • Average Value: $261,669
  • Leading County: Bexar County (566 permits)

San Antonio posted the lowest average value of new construction among the four metros reviewed, a reflection of its comparatively affordable housing market and strong demand for cost-conscious residential products. Bexar County remained the core driver of activity, capturing the majority of new permits for the month.

When taking a look at the latest data from a broad perspective, a few key themes emerge:

  • Houston remains the undisputed leader in total permit volume, continuing a long-standing trend driven by its expansive geography and diverse housing stock.
  • Austin and Dallas compete closely for the highest average construction value, with Austin taking the lead this month by a slim margin.
  • San Antonio maintains its role as a stable, affordability-driven market, offering opportunities for builders targeting first-time buyers and cost-sensitive segments.
  • County-level concentrations reveal where growth is most pronounced, with Harris, Tarrant, Travis, and Bexar counties serving as the primary engines of development within their given regions.

While the above-listed figures offer valuable insight into current market conditions, they represent just a single month of activity. Construction activity is inherently cyclical, influenced by seasonality, interest rates, supply chain conditions, and broader economic forces. Nevertheless, permit data remains one of the most reliable leading indicators of residential construction trends, enabling industry professionals to anticipate shifts in demand and allocate resources effectively.

To gain more information on the builders, homeowners and permits for the construction activity above, check out HBW for your copy of the latest construction data reports. To gain access to the HBW database and receive custom and detailed reports on the latest residential and commercial building activity in Florida, Georgia, Texas, Alabama, and Oklahoma, please contact HBW for details.

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