Texas Land Markets
Texas Land Markets in 2026: Stability Amid Shifting Dynamics
The Texas land market in early 2026 reflects a period of steady land values with nuanced regional differences and evolving buyer preferences. After an extended run of robust price growth over the past decade, rural and recreational land markets in Texas are now characterized by moderating sales volume, sustained price appreciation, and divergent trends across regions.
Price Trends and Market Performance
Despite broader economic headwinds—including tighter credit conditions and cautious buyer sentiment—land prices across Texas have remained resilient. Statewide median rural land values are holding above historical levels, with many regions showing moderate year-over-year increases. For example, median prices per acre statewide are generally above $4,600 and have exhibited growth compared to the previous year, even as the pace of appreciation has slowed from the double-digit increases seen earlier in the decade. Preliminary data indicate prices around $5,155 per acre in late 2025, up roughly 5% from 2024.
Regional Variations
Texas is not a monolithic land market—regional forces drive distinct price dynamics. High-demand areas near major urban centers, such as portions of Northeast Texas and the Gulf Coast’s Brazos Bottom region, continue to command premium values due to proximity to population growth and development pressure. Meanwhile, more remote regions, like Far West Texas, remain more affordable, with per-acre prices significantly lower than central and coastal regions, though still rising in many cases. These regional disparities underscore how location, access, and land use significantly influence value within the broader Texas land market.
Sales Volume and Buyer Behavior
While prices have stayed elevated, total transaction volume has softened. Data from recent market reports show the number of land sales falling compared to earlier years, even as average acreage sold and overall dollar volume remain stable or increase in some segments. This pattern reflects a market in transition: owners are less inclined to sell amid uncertainty, and buyers are more selective, particularly on larger acreage deals. Smaller parcels and lifestyle properties tend to attract quicker sales due to lower entry costs and broader buyer pools.
Market Drivers and Future Outlook
Several long-term forces continue to shape the Texas land market. Persistent population growth and urban expansion place upward pressure on land values near metropolitan fringes, as rural tracts within commuting distance grow in appeal for residential, recreational, and future development uses. At the same time, agricultural and ranch buyers—particularly those focused on production, hunting, or recreation—remain active in segments aligned with their lifestyle or investment goals, even if overall demand cools slightly.
Looking ahead, the market is expected to maintain relative stability through 2026, with land serving as a durable long-term asset. Price growth may be more measured than in previous years, but continued interest from diverse buyer groups, combined with limited supply in many desirable regions, should keep Texas land values supported in the near term.