Dallas-Fort Worth keeps title of No. 1 for real estate potential, according to new report

DALLAS — Dallas-Fort Worth is maintaining its dominance in the U.S. real estate market, according to a new report from the Urban Land Institute and Price Waterhouse Coopers. 

The Metroplex was named the No. 1 market to watch for the second year in a row, according to previous reporting by the Dallas Business Journal. That’s according to the 2026  Emerging Trends in Real Estate report, which uses survey responses from 1,700 real estate executives and professionals to inform its predictions and data. 

Dallas-Fort Worth has been one of the top markets to watch for nearly a decade now. Also topping the list of markets to watch this year are Jersey City, Miami, Brooklyn and Houston. 

Overall, the report found that real estate leaders expect to navigate a “fog” of economic uncertainty and new risks to real estate demand. Despite this, 55% of respondents expect excellent profitability in 2026, down 10% from last year. 

“Industry leaders note interest rates, job/income growth, and inflation as the top three economic and financial issues for real estate in 2026,” the report states. 

As part of the report, the Urban Land Institute and Price Waterhouse Coopers ask professionals to rate U.S. markets for investment and development prospects in 2026. Once again, DFW landed at the top of the heap, according to the report. 

Dallas emerged as the nation’s top market due to its “accessibility, low cost of living, and ease of doing business,” according to the report. 

The report acknowledges the region’s corporate growth, attracting over 100 corporate headquarters between 2018 and 2024. Despite this, office vacancy remains high at 27.6%. However, high-end vacancies are much lower, and there is over 2.7 million square feet in the under-construction pipeline, mostly in the Uptown area. 

“Dallas led the state of Texas’s 111 percent increase in investment banking and securities employment over the past 20 years and is now the second largest financial market in the country,” the report states. 

Dallas-Fort Worth is also a leader in office-to-residential and hotel conversions, with 20 projects in the pipeline, the report says. 

“Office-to-residential and hotel conversions are enhancing Dallas’s standing as a model for other cities to adapt to new styles of working,” the report states.