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Texas cities dominate rankings for new home construction, report shows

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Published  June 3, 2025 4:44pm CDT
Dallas
FOX 4
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The Brief

    • Several Texas cities lead the nation in new home construction, with Houston ranking first and Dallas second in a new report.
    • In early 2025, Houston issued over 11,000 permits and Dallas nearly 10,000, while San Antonio and Austin also made the top 10.
    • This Texas-led construction boom aims to address a national housing deficit.

DALLAS - Several of the top cities in the country for new home construction are right here in Texas, according to a new report.

The report from ConsumerAffairs looked at where the most homes are being built in cities across the nation.

Dallas New Home Construction

By the numbers:

In January and February of this year, Dallas saw 9,811 new building permits issued. Only Houston issued more.

741 new homes were sold during the first two months of the year.

Dallas did have the highest prices for newly-constructed homes of the major Texas cities. The average new home cost about $450,000.

Houston New Home Construction

By the numbers:

In the first two months of 2025, more than 11,047 new building permits were issued in Houston. That was the most of the 150 U.S. cities included in the report.

Houston also topped the list of the most new-construction homes sold with 1,314.

The report cites Houston as being the only major metro area in the country without zoning laws.

Texas dominates list

While Houston led the way, several other Texas cities made the list for new-home construction.

Dallas (2), San Antonio (8) and Austin (9) also landed in the top 10.

Of the top 10, only New York was outside the Sun Belt.

New Housing Costs

Dig deeper:

The report says the average cost of a new-construction home in the United States is almost $485,000.

The National Association of Home Builders believes the U.S. is facing a structural housing deficit and that at least 1.5 million units need to be built to balance the housing market.

"What we have is a supply problem," said John Hunt, chief analyst and principal at MarketNsight, a housing analytics firm. "The more we can build, the less upward pressure there is on price … (and) the more folks can afford a home."

Top 10 U.S. Cities in New-Home Construction

  1. Houston, Texas
  2. Dallas, Texas
  3. Phoenix, Arizona
  4. Atlanta, Georgia
  5. New York, New York
  6. Charlotte, North Carolina
  7. Orlando, Florida
  8. San Antonio, Texas
  9. Austin, Texas
  10. Tampa Bay, Florida

The Source: Information comes from the ConsumerAffairs Research Team analyzed data on new building permits and new-construction home sales in January and February. Building permit data comes from the U.S. Census Bureau. New-construction home sales data came from Zillow.

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