Flower Mound - Highland Village - Argyle | July 2025

From the cover

Building contraction

BY HEATHER MCCULLOUGH & CONNOR PITTMAN

Lewisville ISD's new/existing home prices

The impact

What’s happening?

Average new home price

Average existing home price

K.E. Boyd, a local real estate agent in North Texas, said that despite a buyer’s market, which is when the supply of houses exceeds the demand, younger families are being priced out of homebuy- ing because home prices have substantially grown in recent years. “We’re not seeing a lot of people move out because it’s a buyer’s market and they think it’s a horrible time to sell,” Boyd said. Another factor in housing affordability is interest rates. Boyd said that for every 1% increase in interest rates, it corresponds to a 10% decrease in buying power for a homeowner. If a homebuyer could afford a $600,000 house with a 4% interest rate, that same individual could only afford a $540,000 home with a 5% interest rate. “When you’re used to looking at houses at $600,000 and now you are looking at houses

$1M

Total homes sold in Lewisville ISD The amount of homes sold within Lewisville ISD’s boundaries has decreased over the past three years. 8K

$823,510

79.01% increase

$800K

$600K

$460,035

58.8% decrease

$583,787

$400K

$361,079

61.68% increase

$200K

SOURCE: ZONDA EDUCATION/COMMUNITY IMPACT

that are $540,000, it’s difficult to make that shift because a $540,000 house is not going to be as nice as a $600,000,” she said.

One of the reasons for LISD’s declining enrollment is the decreasing amount of home sales in the last three years. Between 2023 and 2024, new home sales declined by 14%, according to Zonda Education data. New and older homes are about the same price, which encourages buyers to purchase new homes for their updated amenities, Templeton said. “That’s not good for Lewisville because they don’t have many [new homes],” he said. Additionally, more multifamily homes are being constructed. “A lot of these apartments are built for professionals, empty-nesters or lock- and-leave flexible housing arrangements because they may be here temporarily,” Templeton said. “So we don’t see high yields [of students] in multifamily.”

By the numbers

Lewisville ISD enrollment

Projected

As LISD’s attendance continues to decrease, the district is expected to lose millions in state funding tied to attendance.

40K 50K 60K 30K 20K 10K 0

16.71% decrease

School years

SOURCES: ZONDA EDUCATION, TEXAS EDUCATION AGENCY/COMMUNITY IMPACT

Looking ahead

no more inventory left, it increases the value of those houses.” If high interest rates persist, purchasing homes could remain challenging. “Dropping the interest rates would be a big benefit to younger first-time homebuyers, and then they might get back into the market,” Templeton said.

LISD trustees approved the closure of five elementary schools for the 2025-26 school year Dec. 9. This saved the district $2.3 million, according to district documents. Additionally, as LISD reaches full build-out, property values are likely to increase, Boyd said. “There’s certain high schools around here that are in high demand,” she said. “When there is

The declining enrollment has led to less state funding for LISD since Texas schools gain state revenue based on average daily attendance. “Forecasts project enrollment will stabilize around 43,000,” LISD Superintendent Lori Rapp said. “While this shift does impact our funding, we are proactively adjusting our budget to prioritize the classroom and protect the student experience.”

COMMUNITYIMPACT.COM