Dallas-Fort Worth Leads Construction Activity in 2026

Dallas-Fort Worth issued 28,400 single-family housing permits in 2025, the most of any U.S. metro and about 4,200 more than second-place Houston, according to National Association of Home Builders analysis of Census Bureau data. First-quarter 2026 permit activity in the DFW metro remained strong, suggesting the region is on pace to lead again this year.

The DFW total outpaced comparable Sun Belt metros Phoenix (19,300 permits) and Atlanta (17,200). Among individual cities within the DFW metro, Fort Worth led with 8,940 single-family permits, followed by Frisco at 3,410, Prosper at 2,880, and Celina at 2,620. Collin and Denton counties together accounted for roughly 42% of the metro total.

"Dallas-Fort Worth has a rare combination: sustained in-migration, abundant raw land in suburban submarkets, and an established homebuilder ecosystem," said Ted Wilson, principal at Residential Strategies Inc., a Dallas-based consulting firm. Wilson said the region's master-planned community pipeline remains healthy, with inventory of "committed lots" at a 10-month supply compared with 7 months nationally.

Population growth has supported the construction pace. The U.S. Census Bureau estimated DFW metro population at 8.41 million in July 2024, up 1.7% year-over-year, the largest numeric gain of any U.S. metro. Texas Office of the State Demographer projections estimate the metro will reach 9.1 million by 2030.

D.R. Horton, Lennar, PulteGroup, and Meritage Homes are the four largest builders in the DFW market. Combined, the four companies accounted for 52% of 2025 closings in the metro, per Metrostudy data. D.R. Horton, headquartered in the nearby Arlington submarket, maintained its position as the top U.S. homebuilder by closings in 2025, with roughly 21% of its national closing volume concentrated in Texas.

Buyer demand has been most resilient in the $350,000 to $550,000 price tier. The median new-home price in DFW was $422,000 in the first quarter, compared with a resale median of $384,000 per North Texas Real Estate Information Systems (NTREIS). The narrower gap has helped new construction attract cost-conscious buyers.

Builder incentives remain prevalent. Metrostudy reported that 84% of new homes closed in DFW in Q1 included some form of builder incentive, with rate buydowns averaging 1.5 percentage points for two years. Closing-cost credits averaging $12,800 per home were also common. PulteGroup on its January earnings call said DFW remained its top-performing metro nationally in closings and per-home margins, even as incentive usage remained elevated.

Infrastructure expansion has supported the growth pattern. The Texas Department of Transportation began construction in February on the North Tarrant Express segment connecting the Fort Worth and Denton metro areas. Municipal water utilities in Collin, Denton, and Rockwall counties have also expanded treatment capacity, which has helped remove historical bottlenecks to outer-suburb development.