San Antonio’s Real Estate Pace Has Slowed Since 2021, But Prices Remain a Far Cry From the Old Normal

The summer of 2026 finds San Antonio’s housing market in a much calmer state than it was during the notorious 2021 boom, but for buyers hoping for price relief, the new normal remains stubbornly pricey. According to figures released this week by the San Antonio Board of Realtors, June’s median home sale price of $335,200 marks only a 2.5% uptick year-over-year—but that number still sits $77,000 higher than June 2020, when COVID-era bidding wars upended old price charts across Bexar County.

Cooling Pace, Sticky Prices

Local realtors say this plateau comes after two volatile years. Mortgage rates climbed above 7% in late 2024 and 2025, scaring off many first-time buyers across neighborhoods like Alamo Heights and Stone Oak. Since spring, slightly softer lending standards from Frost Bank and rising inventory in the Mission Reach corridor have helped bring back would-be buyers, especially those searching for homes under $400,000.

This matters now because the market is at a crossroads. Population growth—especially inside Loop 410—remains robust. According to the City of San Antonio’s latest housing dashboard, 21,700 building permits have been approved citywide so far in 2026, with hot spots along South Presa Street and the Westover Hills area near SeaWorld. Yet, unlike the 2021 surge—when houses in neighborhoods like Tobin Hill sold in 48 hours, often $25,000 over asking—far fewer properties are drawing multiple offers today. In June, homes spent a median of 36 days on market citywide, up from just 14 at the peak three years ago.

What the Numbers Say

By the numbers, San Antonio’s price jump since the pandemic’s onset is still striking. In summer 2021, a typical three-bedroom in the city proper cost about $258,000 (per Redfin). Now? It’s closer to $335,000. Inventory has nearly tripled since early 2023—just over 5,400 homes on the MLS at last count—but it’s still below national averages. Affordability is increasingly a concern. Per data from the San Antonio Housing Trust, rental rates on Broadway and in the historic King William District are up 19% since 2021, with average monthly leases now crossing $1,600 for a two-bedroom apartment. Affordable options remain in short supply, especially east of downtown in Dignowity Hill and near Lackland AFB.

“Cash buyers and investors have pulled back,” said one longtime agent, citing lower competition but continued demand for prime areas. Meanwhile, luxury developments like the $700,000+ units at The Arts Residences on Lexington Avenue are still attracting out-of-state interest, but at a slower clip than the frenzied years when remote work first took hold.

Looking Forward: Buyer Advice and Market Watch

What happens next? More listings are expected as summer unfolds, but experts from SABOR don’t see prices dropping substantially unless mortgage rates fall or the national economy takes a sharp turn. Buyers should examine neighborhoods like Leon Valley and Southtown, where price growth has flattened, making it possible to negotiate on closing costs or upgrades for the first time in recent memory. For sellers, pricing realistically is key; overambitious listing numbers are lingering on the market.

The city’s “Build for Zero” initiative, designed to tackle housing shortages, is rolling out its next phase south of Military Drive, with 450 new affordable units expected by early 2027. While the gold rush of 2021 is over, San Antonio’s real estate market—unlike much of the country’s—remains robust, propped up by fresh job growth and steady population gains along the I-35 corridor. The balance of power between buyers and sellers is back in flux, forging a market that feels neither too hot nor too cold, but uncertainly in-between.