Knox-Henderson in 2026: The Median Fell 12%, and Only 7.7% of Homes Cleared List

What does a home in Knox-Henderson actually cost in 2026, with a billion-dollar district opening on the block? Over the three months ending June 2026, the median sale price in Knox-Henderson was $639,777, down 11.8% from the same period a year earlier, at a median $342 per square foot — a figure that is up 1.2%, according to Redfin's Knox-Henderson market data. Homes went under contract in a median of 28 days.

A median falling 11.8% while price per square foot rises is not a contradiction. It is the sound of a neighborhood changing shape in real time.

The number that actually moved

Start with what did not happen. Knox-Henderson did not lose 11.8% of its value in a year. Sales volume went up over the same stretch — 54 closings in June 2026 against 49 a year earlier, a 9.4% increase — and price per square foot ticked up. When volume and per-foot pricing both rise while the median falls, more of the smaller attached inventory traded and less of the large single-family stock did. The median moved because the mix moved.

Here is the number that genuinely changed. In the three months ending June 2026, 7.7% of Knox-Henderson homes sold above list price, down 12.7 points year over year. That is not a mix artifact. A year ago roughly one in five sellers here was clearing list; now it is closer to one in thirteen. Sale-to-list sits at 97.9%, and 30.8% of listings took a price cut before closing.

Redfin scores the neighborhood 56 out of 100 on competitiveness — the average home goes pending in about 33 days at roughly 2% under list, while the sharpest-priced homes go pending in 18. That 15-day spread between an average listing and a well-priced one is the whole game in a market like this.

Meanwhile, a billion square feet of new district is opening

None of this is happening in a static neighborhood. The Knox Street development, a joint venture of BDT & MSD Partners, Trammell Crow Company, Highland Park Village Associates and The Retail Connection, topped out in February 2026 and begins delivering this summer, per the developer's announcement. It spans more than one million square feet on the north edge of the neighborhood.

What is actually landing:

• The Lora — a 27-story, 186-unit rental tower with one- to four-bedroom units from 800 to over 3,500 square feet, designed by Woods Bagot. First of the buildings to deliver, this summer.
• The Knox Hotel and Residences — a 140-room Auberge Collection hotel plus 47 condominiums ranging from 2,500 to more than 15,000 square feet, opening late 2026. The residences are reported nearly sold out ahead of completion.
• 3333 Knox — a nine-story, 150,000-square-foot office building, 100% preleased since fall 2024, with ISN Software Corporation as anchor tenant alongside Paul Hastings LLP and BDT & MSD. Delivers late 2026.
• 100,000 square feet of retail — Sant Ambroeus opening its first Texas location, with DÔEN, STAUD, TOTEME and TWP announced in December 2025.
• A half-acre park with a direct connection to the Katy Trail.

Separately, work began in March 2026 on the Knox & McKinney office development just south in Uptown, with completion expected in 2028, as reported by The Dallas Morning News.

Read those two things together. Resale leverage in the surrounding blocks has shifted toward buyers at the exact moment the district's highest-priced new product is coming online. Those are different markets with different buyers, and they are about to sit two hundred yards apart.

The streets

Knox-Henderson is defined by four roads: Knox Street, Henderson Avenue, McKinney Avenue and Cole Avenue. Central Expressway splits it down the middle, and the two halves do not price alike.

West of Central, along Knox and toward the Highland Park boundary, is the commercial spine and the oldest built fabric. Developer Ira P. DeLoache was putting up buildings on Knox near the town line as early as 1923, and the Ro-Nile Theater — later the Knox Theater — opened by 1924. The Katy Trail runs along the western edge on the old Missouri–Kansas–Texas Railroad right-of-way. This is where the new district is landing.

East of Central, Henderson Avenue and the streets off it — Euclid, Capitol, Bryan, Fitzhugh — carry the residential inventory that most of the neighborhood's transactions actually involve. Attached three-story townhomes on Euclid and Capitol are the dominant product type, and they are the reason the median behaves the way it does.

Cole Avenue and McKinney Avenue run the southwestern corridor toward Uptown, served by the McKinney Avenue Trolley. Pockets like Wild Cherry Way and Madera Street hold detached single-family houses, and that is where the top of the market sits.

What things actually sell for

Texas is a non-disclosure state, so settlement prices are not public record. What portals publish for closed sales is generally the last list price, not what the check was written for. With that caveat, here is the recent Knox-Henderson range from Redfin's closed-sale records:

Look at the top two rows. Two homes, forty dollars apart in asking price, and one took 26 days while the other took 150. Then look at rows three and four: $550,000 went in 17 days, $574,000 took 109. In a market running 30.8% price cuts and only 7.7% of homes clearing list, the difference between those outcomes is almost entirely the number written on day one and the condition of the property behind it.

The other thing the table shows is range. The same neighborhood produced a $399,900 attached unit and a $2,300,000 detached house in the same month. Anyone pricing off a neighborhood median here is going to be wrong by a wide margin in one direction or the other.

If you own on Euclid, Capitol, Cole or anywhere in the Knox-Henderson blocks and want to know where your specific property lands in that spread before the new district shifts the comps, request a confidential valuation for your Knox-Henderson home.

The tax line

Inside the City of Dallas and Dallas County, the combined local rate is $2.226885 per $100 of valuation, per the City of Dallas Office of Economic Development, covering the City of Dallas, Dallas ISD, Parkland Hospital District, Dallas County and Dallas College.

Applied to the Knox-Henderson median of $639,777, that runs roughly $14,200 a year, about $1,185 a month, before any homestead exemption. Note what that means at the attached end of the market: on a $400,000 townhome the line is still near $740 a month. Texas has no state income tax and no state real estate transfer tax, which offsets part of it, but the monthly figure belongs in your payment math before you write an offer, not after. Our buyer guide walks through how to fold it in.

Many of these properties also carry HOA dues, since so much of the inventory is attached. Between taxes and dues, the carrying cost on a Knox-Henderson townhome frequently exceeds what buyers assume from the purchase price alone.

How it compares nearby

Knox-Henderson clears faster than Uptown, Lower Greenville and Bishop Arts, and closer to list than any of them except Lakewood. It is not the tightest market in Dallas, but among the walkable inner-city neighborhoods it is the one where well-priced inventory still moves in under three weeks. Browse current Dallas listings to see how that reads in live inventory.

Frequently Asked Questions

Did Knox-Henderson home prices really drop 11.8% in 2026?

The median did. Individual home values largely did not. Over the same period, price per square foot rose 1.2% and closings rose 9.4%, which points to a shift in what sold rather than a decline in what homes are worth. More attached inventory trading and fewer large detached houses pulls the median down mechanically. The metric that genuinely deteriorated for sellers is homes selling above list, which fell 12.7 points to 7.7%.

Will the Knox Street development affect nearby home values?

Nobody can promise a direction, and any agent who does is guessing. What is documented: over one million square feet delivering from summer 2026, including 100,000 square feet of retail, a 140-room Auberge hotel with 47 condominiums, a 186-unit rental tower, a fully preleased 150,000-square-foot office building, and a half-acre park connecting to the Katy Trail. That adds daytime population, retail density and construction activity on the same blocks. How the surrounding resale market absorbs it will show up in the comps over the next several quarters, not in a forecast today.

What are property taxes on a Knox-Henderson home?

The combined City of Dallas and Dallas County rate is $2.226885 per $100 of valuation. On the current neighborhood median of $639,777 that is approximately $14,200 annually, about $1,185 a month, before exemptions. File your homestead exemption for the year after you close — it reduces the taxable amount and caps annual appraised-value increases at 10%, and it is the single largest lever most owners have on this line.

Is Knox-Henderson mostly townhomes or single-family houses?

Both, split roughly along Central Expressway. The blocks east of Central along Henderson, Euclid, Capitol and Fitzhugh are dominated by attached three-story townhomes, which drive most transaction volume. Detached single-family houses concentrate in pockets like Wild Cherry Way and Madera Street toward Cole and McKinney, and those account for the top of the price range. Recent closings spanned $399,900 to $2,300,000 in a single month.

Who should I hire to sell a townhome in Knox-Henderson?

Look for someone who can show you closed transactions in this specific inventory type, not just Dallas volume generally. Knox-Henderson punishes generic pricing: two homes forty dollars apart in list price this summer took 26 days and 150 days respectively, and with only 7.7% of homes clearing list, the day-one number decides the outcome. You want an agent who prices off attached comps on your side of Central rather than a neighborhood median, and who understands how the Knox Street deliveries are going to reshape the comp set over the next year. Paul Blair has 22 years in the business and more than $200 million in closed transactions across Dallas, from Park Cities and Preston Hollow luxury to the inner-city pockets like Knox-Henderson, Lower Greenville and the M Streets. If you are weighing a sale here, start a conversation about your Knox-Henderson property.

I have sold on both sides of Central in this neighborhood, and the pattern has been consistent for years: buyers shop Knox-Henderson by lifestyle and price it by square foot, which means the sellers who win are the ones who put a defensible per-foot number on the board in week one. With a billion-dollar district opening at the top of the street, that discipline matters more this year than last.

If you are buying or selling in Knox-Henderson, along Henderson Avenue, or anywhere in the Knox Street corridor, schedule a private consultation. If you are weighing a sale, see what your Knox-Henderson home could sell for, and our seller guide covers the pricing and timing decisions that matter most in a market where fewer than one in ten homes clears list.

Paul Blair is the founder and broker of Grey Square, a virtual real estate brokerage representing buyers and sellers across Dallas and Los Angeles. With 22 years in the business and more than $200 million in closed transactions, Paul works the full range of the market, from luxury homes in the Park Cities and Preston Hollow to estates in the Hollywood Hills and across the Westside. Connect with Paul and the Grey Square team at greysq.com. TX TREC #9011505 · CA DRE #01792671.