Inside DFW Real Estate

Lake Highlands real estate market update

Each month, The Dunnican Team publishes housing market updates covering the cities we serve across Northeast Dallas, Collin, Hunt and Rockwall Counties.

Our reports are sourced directly from the MLS transaction data, not estimates or industry averages, and always compared year-over-year so you can tell what's actually changing.

Our goal is to give you the same honest picture we use with our clients, explained the way we'd explain it across the table.

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Lake Highlands closed 56 homes in August at an overall median of $630,000, up 24.9% from $504,250 a year ago. Active listings fell 19.2% to 294, and homes sold in a median of 30 days, two weeks faster than last August.

That 24.9% is not appreciation, and no homeowner should read it that way. Single-family homes made up 75% of August sales, against 66% a year ago, while condominium sales fell from 20 to 9. Because the local condo stock trades at a fraction of single-family prices, a shift in that mix moves the overall median far more than values did. Measured properly, single-family homes rose 6.9% and single-family price per square foot rose 4.1%. Those are the numbers that describe what happened to values.

Lake Highlands Housing Market Update – September 2026

Lake Highlands Housing Market Update | Reporting Period: Aug 1–Aug 31, 2026 (August 2026 data) • Data via NTREIS

How we define Lake Highlands. This report covers ZIP codes 75238, 75243, and 75231 — Lake Highlands proper, inside Dallas city limits and within the Richardson ISD attendance area. It does not include the Far North Dallas neighborhoods that also fall in Richardson ISD. Because Lake Highlands is part of the City of Dallas, citywide Dallas figures are reported separately in the full Dallas market update.

Key Highlights | Lake Highlands Housing Market Update

Median Price: $630,000 (+24.9% YoY — see the note on transaction mix below)
Single-Family Median: $732,000 (+6.9% YoY)
Closed Sales: 56 (-24.3% YoY)
Active Listings: 294 (-19.2% YoY)
Months of Inventory: 5.2 (4.9 in August 2025)

A note on transaction mix. With 56 sales in a month, the overall median reflects which homes happened to sell as much as what they were worth. This August it captured a shift toward single-family and away from condominiums. Where the two measures disagree, price per square foot and segment-level medians are the more reliable read.

What Sellers Need to Know

Single-family values rose about 6.9% year over year, with price per square foot up 4.1%. The 24.9% headline reflects transaction mix, not your equity.
Your price band matters more than the neighborhood average. Between $650,000 and $900,000 there are 2.3 months of supply; under $300,000 there are 11.4.
Active listings fell 19.2%, so competing inventory is lighter than last fall in most tiers.
Pending sales fell from 86 to 34. That is the sharpest signal on this page and points to a slower fourth quarter.

What Buyers Need to Know

The attached-housing tier under $300,000 carries 11.4 months of supply — the deepest buyer leverage in the neighborhood.
Between $650,000 and $900,000, supply is 2.3 months. That range moves quickly and rewards preparation over negotiation.
Median days on market improved to 30 from 44, so well-priced homes are selling considerably faster than last year.
Homes closed at 95.3% of original list price, so negotiating room exists, particularly on longer-held listings.

PRICES
Lake Highlands' overall median sales price was $630,000 in August 2026, compared with $504,250 in August 2025. That 24.9% change overstates what happened to values, because single-family homes rose from 66% to 75% of sales while condominium sales fell from 20 to 9. Single-family homes alone had a median of $732,000, up 6.9% from $685,000, with price per square foot rising from $271 to $282, an increase of 4.1%. Homes closed at a median of 95.3% of original list price, against 94.4% a year ago. For context, the DFW Metroplex median was $389,000 and the Texas median was $330,000.

SALES ACTIVITY
A total of 56 homes closed in August 2026, compared with 74 in August 2025, a decline of 24.3%. Sellers brought 91 new listings to market, and 34 properties went under contract, down from 86 a year earlier. Median days on market fell to 30 from 44. The 60% decline in pending sales is the clearest leading indicator here and typically precedes closed volume by thirty to sixty days.

INVENTORY
Active listings totaled 294 at the end of August 2026, down 19.2% from 364 in August 2025. With 91 new listings against 56 closings, supply continued to build during the month. The composition matters: 159 of the 294 active listings — 54.1% — were priced under $300,000, while that band accounted for only 25.0% of August sales.

MARKET BALANCE
Months of inventory stood at 5.2, compared with 4.9 in August 2025. That compares with 4.4 months for the DFW Metroplex and 5.4 months statewide. Measured against the trailing six-month sales pace rather than August alone, absorption works out to roughly 4.2 months, which suggests August ran slower than the recent average. Inventory declined while sales declined further, so the tightening reflects fewer listings rather than stronger demand.

Where Lake Highlands Divides

Months of inventory by price band shows a neighborhood operating in opposite conditions at the same time.

Price Band	Homes Sold (Aug)	Active Listings	Months of Supply	Position
Under $300,000	14	159	11.4	Strong buyer leverage
$300,000–$449,999	7	25	3.6	Seller advantage
$450,000–$649,999	8	44	5.5	Buyer leverage
$650,000–$899,999	15	35	2.3	Seller advantage
$900,000+	12	31	2.6	Seller advantage
All price bands	56	294	5.2	Buyer-leaning

Active listings counted by list price; sold counted by close price. NTREIS MLS, August 2026.

More than half of all active inventory sits under $300,000, but that band produced a quarter of August's sales. Of the 159 listings under $300,000, the large majority are condominiums — across everything under $450,000, active inventory breaks down to 143 condos, 21 single-family homes, and 20 townhomes. Attached housing is accumulating well faster than it sells.

The practical consequence: a single-family seller below $450,000 competes in a much thinner field than the segment total suggests, with 21 comparable listings rather than 184. Above $650,000, where 27 of 56 August sales occurred, supply runs between 2.3 and 2.6 months and conditions clearly favor sellers.

Lake Highlands Housing Market Outlook: Fall 2026

Lake Highlands moved to 5.2 months of inventory from 4.9, with active listings down 19.2% and closings down 24.3%. Because sales fell further than supply, the market loosened slightly despite the smaller listing count. The neighborhood remains split: everything above $650,000 sits near 2.3 months and should stay competitive through the fall, while the attached-housing tier under $300,000 holds 159 listings against 14 monthly sales. Pending sales fell from 86 to 34, which points to materially softer closed volume in the fourth quarter across every segment. With 91 new listings arriving against 56 closings, total inventory is likely to keep building. If mortgage rates ease, the condominium tier has the most room to absorb renewed demand and the $650,000-and-above range the least. Sellers should price against their own band and property type rather than the neighborhood median, which sits above roughly three-quarters of active inventory.

Lake Highlands is part of the City of Dallas, and citywide conditions differ. See the full Dallas market update for the broader picture.

Trending in Real Estate News

Realtor.com Research — The Best Time to Buy a Home Is the Week of Sept. 27 – Oct. 3 — Realtor.com's annual timing analysis names the week of September 27 through October 3 the most buyer-friendly week of 2026 nationally, with more active listings than earlier in the year and roughly $14,000 in savings on a median-priced home compared with the summer peak. The weeks immediately after are nearly as favorable.
MetroTex Association of REALTORS® — Monthly DFW Housing Market Reports — The regional association's own monthly data for the Dallas-Fort Worth Metroplex and Texas.
Zillow Research — Monthly Market Report — National sales and new-listing trends, useful for separating local movement from national conditions.
Redfin — 2026 Housing Market Mood: Buyers Cautious, Sellers Showing Up — Survey-based look at how buyers and sellers are approaching the market this year.

Numbers describe a market. They do not describe your home, your street, or your timeline. If you are weighing a move in Lake Highlands, Cindy and Cory Dunnican are glad to walk through what this data means for your specific situation — no pressure, no obligation. Get in touch with The Dunnican Team or call 972-679-1789.

Frequently Asked Questions

Did home values in Lake Highlands really rise 24.9%?

No. The overall median rose from $504,250 to $630,000 between August 2025 and August 2026, but that reflects a shift in which homes sold rather than a rise in values. Single-family homes made up 75% of August 2026 sales versus 66% a year earlier, while condominium sales fell from 20 to 9. Measured on their own, single-family homes rose 6.9% to a median of $732,000, and single-family price per square foot rose 4.1% from $271 to $282. Those figures describe what actually happened to values.

What is the median home price in Lake Highlands?

The overall median sale price in Lake Highlands was $630,000 in August 2026 across all property types. Single-family homes alone had a median of $732,000, up 6.9% year over year. The neighborhood includes a substantial condominium stock that trades far below single-family prices, so the all-property median moves significantly with transaction mix. For comparison, the DFW Metroplex median was $389,000 and the Texas median was $330,000.

Is now a good time to sell in Lake Highlands?

It depends on your price band and property type. In August 2026, homes between $650,000 and $899,999 had 2.3 months of supply and homes above $900,000 had 2.6 months, both favoring sellers. Homes under $300,000 had 11.4 months, favoring buyers. Overall inventory was 5.2 months. Pending sales fell from 86 to 34 year over year, which suggests a slower fourth quarter across all segments.

Why is there so much condo inventory in Lake Highlands?

Of the 294 active listings in August 2026, 159 were priced under $300,000, and across everything under $450,000 the inventory broke down to 143 condominiums, 21 single-family homes, and 20 townhomes. Sales under $450,000 totaled 21 — 9 condos, 7 single-family, and 5 townhomes. Attached housing is accumulating faster than it sells, which produces 11.4 months of supply in the entry tier while other segments remain tight.

How long do homes take to sell in Lake Highlands?

Median days on market was 30 days in August 2026, improved from 44 days a year earlier. That measures time from listing to an accepted contract; contract to closing added a further 28 days in Lake Highlands during August, so a typical sale ran about 58 days from listing to closing. Absorption varies sharply by band, with the $650,000-and-above range moving considerably faster than the neighborhood median.

Which ZIP codes make up Lake Highlands?

This report covers 75238, 75243, and 75231 — Lake Highlands proper, inside Dallas city limits and within the Richardson ISD attendance area. Some Richardson ISD neighborhoods farther north, including Prestonwood and Northwood Hills, fall in 75248, 75240, 75254, and 75252 and are generally considered Far North Dallas rather than Lake Highlands. They are not included here.

How much inventory is available in Lake Highlands?

Lake Highlands had 294 active listings at the end of August 2026, down 19.2% from 364 a year earlier. Against 56 closed sales, that represents 5.2 months of supply, up from 4.9 months in August 2025. Measured against the trailing six-month sales pace rather than August alone, absorption works out to roughly 4.2 months.

Is Lake Highlands part of Dallas or Richardson?

Lake Highlands is inside Dallas city limits but falls within the Richardson ISD attendance area, which is how the market area is defined for real estate purposes. Homes there carry Dallas addresses and Dallas city services while attending Richardson ISD schools. Citywide Dallas market figures are reported separately, and the two differ meaningfully.

Source: NTREIS MLS (Aug 1–Aug 31, 2026) with August 2025 comparison metrics from NTREIS MLS, covering ZIP codes 75238, 75243, and 75231. Regional and statewide benchmarks from MetroTex Association of REALTORS® August 2026 Housing Reports.

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