Sherman, TX Housing Market
AI-powered market intelligence for the Sherman-Denison, TX metro area.
PropertyIQ Scores
Sherman, TX Market Analysis
Market Overview
Sherman, TX is a weak housing market, as reflected in a PropertyIQ Score of 3 out of 100. The low score is driven by negative home value momentum, a median days on market of 72 days, and a 24.9% share of listings with a price cut. The median home value is $288,073, below the state average of $301,806. Median household income is $70,455, also below the state average of $76,292. These comparisons point to lower pricing power and earning capacity than Texas as a whole.
The rent index of $1,348 is slightly above the state average of $1,339, and the unemployment rate of 4.0% is below the state average of 4.4%. Still, these positives do not offset the weak price trend. With 1,302 homes for sale and a year-over-year home value change of $-3, the market is well supplied and prices are essentially flat to down. Overall, Sherman's metrics describe a buyer-leaning market with stability in rents and employment but soft home price conditions.
Key Trends
First, home value momentum is negative and appears to be worsening. The 12-month momentum is -1.74%, while the 3-month momentum is -2.16%, meaning recent declines are sharper than the annual trend. The year-over-year home value change of $-3 confirms flat-to-negative price movement.
Second, selling conditions are challenging. The median days on market is 72 days, and 24.9% of listings have had a price cut. Nearly one in four sellers is adjusting the asking price downward, signaling a buyer's market.
Third, inventory is substantial at 1,302 homes for sale. Combined with 72 median days on market, this suggests absorption is slow, giving buyers more choices and reducing pressure to act quickly.
Fourth, rental and employment indicators are steady. The rent index of $1,348 is slightly above the state average of $1,339, and the unemployment rate of 4.0% is lower than the state average of 4.4%. However, median household income of $70,455 remains below the state average of $76,292, which may limit homebuying demand.
Who Is This Market For
This market is best suited to long-term buyers who do not expect rapid appreciation. With a median home value of $288,073 below the state average of $301,806 and a high share of price cuts, patient buyers may find negotiation opportunities. However, the local median household income of $70,455 is below the state average, so affordability may still be tight for some first-time buyers.
Rental-focused investors may see moderate appeal because the rent index of $1,348 is slightly above the state average, and unemployment is relatively low at 4.0%. But the negative home value momentum and a PropertyIQ Score of 3/100 make this market less suitable for short-term flips or appreciation plays.
Move-up buyers may struggle because selling a home in a market with 72 median days on market and a 24.9% price-cut share could take longer and produce lower proceeds. Population growth data is not available, which leaves a gap in understanding future demand. Overall, Sherman appears most appropriate for long-term owner-occupants and cash-flow-focused investors with realistic price growth expectations.
Outlook
The metrics suggest continued softness in the near term. Home value momentum of -1.74% over 12 months and -2.16% over 3 months indicates prices have not stabilized. With 72 median days on market and 24.9% of listings showing price cuts, sellers will likely need to remain flexible. Inventory of 1,302 homes for sale gives buyers options, which may keep upward pressure on market time and downward pressure on prices. The unemployment rate of 4.0% and rent index of $1,348 may provide some support, but they have not reversed the price trend. Because population growth data is missing, the demand outlook cannot be fully evaluated. Absent a shift in these trends, Sherman is likely to remain a buyer's market with limited near-term appreciation potential.
AI-generated analysis based on current market data. Last updated August 23, 2026.
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Sherman, TX market data
Sherman, TX Housing Market Overview
Sherman, TX's median home value is $288K, down 1.7% over the past year. Homes here sell in a median 72 days. Its PropertyIQ Score of 3 sits below the state average of 50, marking a market positioned to lag its state over the next three years.
PropertyIQ tracks the Sherman, TX housing market through two complementary lenses: price momentum from Zillow home-value trends over 3 and 12 months, and demand pressure from how quickly homes sell and how often sellers cut prices, drawn from Realtor.com. The PropertyIQ Score distills these into one number that predicts how this TX market is set to perform against its state benchmark.
South Central housing markets are propelled by energy sector economics, corporate relocations, and rapid population growth. Texas metros in particular have seen explosive expansion, though affordability pressures are emerging in the fastest-growing areas. Within the South Central, Sherman, TX's PropertyIQ Score of 3 runs below the South Central norm.
Texas continues to be one of America's top relocation destinations, with no state income tax and a business-friendly regulatory environment driving corporate headquarters relocations and population growth.
Each month, PropertyIQ updates its score for Sherman, TX using four inputs: Zillow ZHVI twelve-month and three-month momentum, Realtor.com median days on market, and the Realtor.com share of listings with price cuts. These four signals are combined into a single 1 to 99 score computed across all metro markets and calibrated so 50 represents the state average, making it a direct read of how this market is positioned to perform relative to its state. Momentum here has been negative, with home values down 1.7% over the past year.
View Sherman, TX's complete market profile including historical price trends, score history, and AI-generated analysis. Compare this market against any other US metro to find the best opportunities for your investment strategy.
Counties in the Sherman, TX metro area
ZIP codes in the Sherman, TX metro area
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Market data through July 2026. Sourced from Zillow, Realtor.com, Redfin, U.S. Census Bureau, FRED, BLS, and BEA. Per-statistic source and date shown above.
Frequently Asked Questions
Is Sherman, TX a good place to buy real estate in 2026?
PropertyIQ doesn't label markets simply good or bad. Instead, the PropertyIQ Score measures a market's demand momentum against its own state, where 50 marks the state average. Sherman, TX currently scores 3, a very weak-momentum reading that leaves it positioned to lag its state over the next three years. For buyers, cooling demand usually brings more inventory, longer sale times, and real leverage to negotiate on price. Backing that up, the median home value here is $288K, down 1.7% over the past year. So whether Sherman, TX is right for you comes down to your goals: a rising-momentum market can favor long-term appreciation but offers less room to negotiate, while a cooling one hands buyers more leverage. Treat the score as a timing signal to weigh alongside your budget, holding period, and plans for the property, not a verdict on the market's quality.
What is the PropertyIQ Score for Sherman, TX?
Sherman, TX's PropertyIQ Score is 3, indicating very weak momentum on a 1-to-99 scale. The score distills four transparent inputs into a single number: Zillow home-value momentum over the past 12 months, Zillow home-value momentum over the past 3 months, the median days homes spend on the market from Realtor.com, and the share of listings with a price cut, also from Realtor.com. Rising values and faster sales push the score up, while slow sales and frequent price cuts pull it down. The scale is calibrated so 50 equals the state average, meaning a score above 50 predicts the market will outperform its state over the next three years and a score below 50 predicts underperformance. PropertyIQ computes the score across every US market nationally, then recenters it against each state, so 3 places Sherman, TX below its state benchmark.
Are home prices in Sherman, TX rising or falling?
Home prices in Sherman, TX are falling. Over the past year, the median home value declined 1.7%, reaching $288K. Over the latest three months, values slipped 2.2%, a sign near-term demand is softening. PropertyIQ derives these figures from Zillow's home-value index, which tracks the typical value across the market rather than only the homes that happened to sell, giving a steadier read than a raw median sale price. Both the 12-month and 3-month momentum readings feed directly into the PropertyIQ Score, so this price trend is one of the core signals behind Sherman, TX's current score. Keep in mind that appreciation can vary widely by neighborhood and price tier across the metro area, so treat these figures as the market-wide baseline rather than a guarantee for any single property.
How quickly do homes sell in Sherman, TX?
In Sherman, TX, homes sell in a median of 72 days from listing to pending sale, based on Realtor.com market data. Median days on market is one of the clearest real-time reads on local demand: when homes move quickly, buyers are competing and sellers hold the advantage, while lengthening timelines signal cooling interest and more room to negotiate. Alongside sale speed, about 25% of active listings here have taken at least one price cut — a complementary demand gauge, since a rising share of reductions often precedes slower sales and softer prices. Both median days on market and the price-cut share feed directly into the PropertyIQ Score, where faster sales and fewer cuts push the score higher. As a general guide, medians under about 30 days indicate a brisk, competitive market, while medians well beyond 60 days point to buyers regaining leverage. Actual time on market still varies by price band, property type, and season, so treat the median as a market-wide baseline.
How current is this metro area data?
This Sherman, TX market data is refreshed on a monthly cycle, with the latest figures current through July 2026. PropertyIQ ingests fresh data every month from a range of authoritative sources: home values and rents from Zillow, days on market and price-cut activity from Realtor.com, additional housing signals from Redfin, demographic and housing-stock data from the U.S. Census Bureau, mortgage and macroeconomic series from FRED, and employment figures from the Bureau of Labor Statistics and the Bureau of Economic Analysis. The PropertyIQ Score itself is recomputed every month once the new source data lands, so the score and its four underlying inputs always reflect the most recent complete reporting period rather than a static snapshot. Because official housing data is typically released with a short lag, the current-through date usually trails the present by a few weeks, which is normal across the industry and not a sign the data is out of date.