In Texas, swimming pools have long been more than a luxury. They are practically a lifestyle accessory, a backyard refuge from triple-digit summer temperatures, and, in many communities, a feature that has become increasingly expected rather than exceptional. Yet even in a state where heat and outdoor living remain constants, new swimming pool construction activity continues to face headwinds.

According to the latest Swimming Pool Construction Activity Trend Report from HBW, a leading provider of building permit data for the construction industry, 4,538 new swimming pool construction permits were added to the HBW database across the major Texas metropolitan markets through the third quarter of 2026. This represents a 12 percent year-to-date decline compared to the same period in 2025. While the decrease is noteworthy, it is also part of a broader pattern. The Texas swimming pool market has been gradually recalibrating after the unprecedented demand surge experienced during the pandemic era. New pool construction activity has declined annually over the past three years, with year-over-year decreases ranging from as much as 31 percent in 2023 to a more moderate 10 percent decline in 2025. Based on current permit activity, 2026 appears poised to continue that trend, potentially tracking at a pace similar to last year.

Of course, construction markets rarely move in a straight line. With another quarter remaining in the reporting year, there is still time for conditions to shift. But from a permit perspective, the market appears to be settling into a new equilibrium after several years of contraction.

Dallas and Houston Continue to Lead the State

Despite softer overall activity, Dallas and Houston remain the dominant markets for new swimming pool construction in Texas. The Dallas metropolitan area recorded 1,803 new swimming pool construction permits through the third quarter of 2026, making it the state’s largest market by volume. However, Dallas also posted one of the more significant declines among major metros, with permit activity down 20 percent year-to-date compared to the same period in 2025.

Meanwhile, the Houston area generated 1,558 permits, placing it second in overall volume. Houston’s performance, however, tells a slightly different story. While construction activity remains below last year’s levels, the market experienced a comparatively modest 7 percent decline, suggesting greater resilience than its North Texas counterpart.

From a market analysis perspective, Houston’s smaller rate of decline may indicate a more stable demand base or a market that has already absorbed much of the post-pandemic correction. Dallas continues to generate substantial permit volume, but the sharper contraction suggests that builders and contractors may still be working through a more pronounced normalization cycle.

Austin Emerges as the State’s Outlier

If there is one metropolitan area generating genuine optimism in the Texas pool construction sector, it is Austin.

The Austin market recorded 791 new swimming pool construction permits through the third quarter of 2026, reflecting a 9 percent year-to-date increase over the same timeframe in 2025. While Austin’s overall permit volume remains significantly smaller than Dallas or Houston, the growth itself is notable. In a statewide environment characterized largely by declining permit issuance, Austin is currently the only major metro area outperforming last year’s pace so far, and that distinction alone makes Austin a market worth watching.

Growth in construction rarely happens by accident. Whether driven by continued population migration, new residential development activity, favorable household demographics, or local market dynamics, Austin appears to be bucking the broader statewide trend. Although one year does not establish a permanent trajectory, it does suggest that demand fundamentals in the region are healthy.

San Antonio Faces Continued Challenges

The San Antonio metropolitan area reported 386 new swimming pool construction permits through the third quarter of 2026.

While San Antonio has historically generated lower permit volumes than the state’s larger metropolitan areas, it experienced one of the sharper contractions in the latest reporting period. Permit activity declined 20 percent year-to-date compared to the same period in 2025. For builders operating in the region, the figures highlight a marketplace that remains active but increasingly competitive. As demand softens, contractors often face greater pressure to differentiate themselves through service offerings, project quality, pricing strategies, and lead generation efforts.

County-Level Activity

Looking beyond metropolitan statistics provides a clearer picture of where pool construction activity is actually taking place. At the county level, a handful of jurisdictions continue to account for a substantial share of Texas swimming pool construction…

• Harris County – Leading the state is Harris County, the heart of the Houston metropolitan area. Through the third quarter of 2026, 988 new swimming pool construction permits were recorded in Harris County. Although the county maintains its position as Texas’ largest market for new pool construction, activity was down approximately 13.5 percent compared to the same period in 2025. Even with that decline, Harris County remains the single most active county for pool construction in the state by a considerable margin.
• Travis County – The standout performer is undoubtedly Travis County. HBW recorded 701 new swimming pool construction permits in Travis County through the third quarter, representing a remarkable 23 percent increase compared to the same period last year. The growth substantially exceeds Austin’s overall metro increase and reinforces the notion that the region continues to possess strong underlying demand. In an environment where many counties are struggling to maintain prior-year levels, Travis County’s performance stands out as both significant and potentially indicative of longer-term market strength.
• Tarrant County – Another bright spot emerges in Tarrant County, where permit activity increased despite broader regional declines. Through the third quarter of 2026, 539 new swimming pool construction permits were recorded, representing a 21 percent year-over-year increase. The gain is particularly noteworthy because it occurs within the larger Dallas-Fort Worth market, which overall reported a substantial decline. Tarrant County’s performance demonstrates how localized market conditions can differ dramatically even within the same metropolitan region.

For contractors and suppliers, this serves as an important reminder that county-level trends often provide a more accurate picture of opportunity than metro-wide statistics alone.

Collin and Denton Counties Move Lower

In contrast, two of the Dallas areas that are traditionally strong growth markets experienced declines. Collin County recorded 429 new swimming pool construction permits, reflecting approximately a 14 percent decrease compared to the same timeframe in 2025. Similarly, Denton County reported 390 permits, representing a 13.5 percent year-over-year decline. While neither county is experiencing a dramatic collapse in activity, both reflect the broader cooling trend affecting the region.

Viewed collectively, the latest data presents a nuanced picture of the Texas swimming pool construction market. At the state level, permit activity remains lower than prior-year levels, continuing a multi-year correction that began after the extraordinary demand cycle of the early 2020s. Rising construction costs, higher financing expenses, economic uncertainty, and a more cautious consumer environment have all likely contributed to softer demand. That being stated, the data also reveals important pockets of resilience.

Austin continues to post positive growth. Travis County is seeing particularly strong gains. Tarrant County has emerged as a surprising bright spot. Meanwhile, Houston’s decline appears considerably more moderate than some of its peers. In other words, while statewide permit volume is down, the story is not the same across the board. Some markets are clearly retrenching. Others appear to be stabilizing, and a select few are continuing to expand.

As Texas moves toward the close of 2026, the swimming pool construction sector remains in a period of transition. If current trends hold, 2026 may ultimately resemble 2025 in overall volume. However, localized growth in areas such as Austin, Travis County, and Tarrant County demonstrates that open opportunities remain for firms willing to follow the data. After all, in Texas, summers are still hot, backyards are still valuable, and homeowners still dream about stepping outside and jumping into their own private oasis. The difference in 2026 is that those dreams are becoming a little more selective about where they are turning into construction permits.

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.