San Antonio Real Estate Market Update: More Choices for Buyers, Higher Mortgage Rates and Builder Incentives

The San Antonio housing market continues to change, and we're seeing an interesting combination of conditions as we move into the fall of 2026.

Buyers have more homes to choose from, sellers are facing more competition, mortgage rates have moved higher, and new-home builders continue to use incentives to attract buyers.

So, what does all of this mean if you're thinking about buying or selling a home in San Antonio or the surrounding area?

San Antonio Buyers Have More Choices

Recent San Antonio-area housing data shows a market with considerably more inventory than buyers experienced during the highly competitive years earlier this decade.

More inventory doesn't necessarily mean homes aren't selling. It means buyers can often take more time to compare properties and may have greater negotiating opportunities.

For buyers, that can open the door to conversations about more than just the sales price. Depending on the property and seller, there may be opportunities involving closing-cost assistance, repairs or other negotiated terms.

For sellers, increased competition makes proper pricing and presentation increasingly important. When buyers have multiple homes to choose from, an overpriced property can quickly be passed over.

Mortgage Rates Put the Focus on Monthly Payments

Mortgage rates are another important part of today's housing market.

Freddie Mac reported that the average 30-year fixed mortgage rate reached approximately 6.95% on September 17, 2026.

For buyers, this makes it especially important to look beyond the purchase price and understand the complete monthly housing payment.

That's also why negotiations involving seller-paid closing costs or funds that can potentially be used toward financing strategies may sometimes be more valuable to a buyer than simply negotiating a lower purchase price.

Every buyer's financial situation is different, so financing options should always be reviewed with a qualified mortgage professional.

New Construction Deserves a Closer Look

New construction is another part of the market worth watching.

Nationally, the National Association of Home Builders reported in September that many builders continue to use sales incentives, with some also reducing prices.

That doesn't automatically make a new home a better deal than a resale property.

It does mean buyers should compare the total cost of ownership.

When I'm helping a client compare new construction with resale, I want them to consider the sales price, mortgage payment, builder financing incentives, closing-cost assistance, property taxes, HOA expenses, upgrades and other costs.

Sometimes the resale home is the stronger opportunity. Sometimes new construction is.

The numbers need to be compared side by side.

What Does This Mean for San Antonio Home Sellers?

Today's market places greater importance on having a pricing strategy from the beginning.

Buyers have access to more inventory, and they're paying close attention to condition, price and affordability.

A home can still stand out, but simply putting a property on the market at an ambitious price and waiting for a buyer to appear can be a difficult strategy when competing homes are available.

Understanding recent sales, current competition, price reductions and buyer activity in your specific neighborhood can help establish a more realistic strategy.

What Does This Mean for San Antonio Home Buyers?

For buyers, today's market presents a different type of opportunity.

Higher mortgage rates create affordability challenges, but increased inventory can provide negotiating leverage that buyers didn't have when multiple-offer situations were commonplace.

The important thing is not to assume that every property—or every seller—is the same.

Some homes may have little negotiating room. Others may have been sitting on the market long enough that the seller is more receptive to an offer involving price, closing costs or other terms.

That's where understanding the individual property and its local market becomes important.

Real Estate Is Local

National housing headlines can provide useful context, but they don't tell the entire story of what's happening in San Antonio.

And even San Antonio-wide statistics don't necessarily tell us what's happening in your particular neighborhood.

Conditions can vary between San Antonio, Helotes, New Braunfels and surrounding communities—and sometimes significantly from one neighborhood or price range to another.

That's why I believe the best real estate decisions start with understanding the local numbers and then applying them to your individual situation.

Thinking about buying or selling?

If you'd like to know what's happening in your neighborhood, what homes are actually selling for, or how today's market could affect your buying or selling plans, I'd be happy to help.

Evan Barnett, REALTOR® | eXp Realty
Serving San Antonio, Helotes and surrounding South Texas communities.

Market information referenced from the San Antonio Board of REALTORS® (SABOR), Freddie Mac and the National Association of Home Builders. Mortgage rates and market conditions change regularly. Consult the appropriate real estate, mortgage, tax or financial professional regarding your individual circumstances.