McAllen, TX—78503
Real Estate Data & Market Trends
Key Metrics at a Glance
Home Price Trends — McAllen, TX
As of Oct '25, the median home price in McAllen, TX is $178,000, with a year-over-year change of -3.2%. This indicates that home prices in McAllen, TX are decreasing. According to Zillow, the 1-year price projection is 1.5%, suggesting an increase housing market in the next year.
Cost per Home Type
| Home Type | Median Home Value | YoY % Change |
|---|---|---|
All Homes | $178,000 | -3.2% |
| Single Family | $184,000 | -2.6% |
| Condos | $152,000 | -8.4% |
Cost per Home Size
| Home Size | Median Home Value | YoY % Change |
|---|---|---|
1 Bed | $94,000 | -4.1% |
2 Bed | $126,000 | -4.5% |
3 Bed | $174,000 | -3.3% |
4 Bed | $356,000 | 2.3% |
| 5 Bed | $576,000 | 3.8% |
% of Housing Stock
Rental Trends — McAllen, TX
As of July '25, Rentcast reports the average rent in McAllen, TX is $1,560, with a year-over-year rent change of -1.9%. Per bedroom, the median rent as of July '25 in McAllen, TX is 1-bedrooms: $885, 2-bedrooms: $1,220, 3-bedrooms: $1,700, 4-bedrooms: $2,780. The most common rental property sizes in McAllen, TX are 2-bedroom and 3-bedroom, accounting for 49.8% and 33.3% of the rental stock.
| Type | Median Rent | Average Rent |
|---|---|---|
| Average Rent | $1,300 | $1,560 |
| Studio Rent | N/A | N/A |
| 1 Bed Rent | $795 | $885 |
| 2 Bed Rent | $1,150 | $1,220 |
| 3 Bed Rent | $1,500 | $1,700 |
| 4 Bed Rent | $2,800 | $2,780 |
% of Rental Stock
Property Listings — McAllen, TX
As of Oct '25, Realtor.com reports that the median days on market for a home in McAllen, TX is 84. This is a decrease of -20.0% from last year, suggesting that homes are sitting on the market shorter than last year. The percentage of listed homes with a reduced price is 14.0%, representing a small inventory and little supply pressure on home prices.
| Metric | Zip Code Average | Year over Year % Change |
|---|---|---|
Median Listing Price | $252,000 | 18.0% |
Listing Count | 111 | 16.0% |
| Listings as % of Homes | 0.8% | 16.0% |
Days on Market | 84 | -20.0% |
Demographics — McAllen, TX
As of the latest ACS Survey released in 2023, McAllen, TX has a population of 22,600, which has increased by 2.4% over the past 5 years. McAllen, TX is a popular place for families, as children make up 27.0% of the population. The area has a poorly educated workforce, with 24.6% of adult residents holding a bachelor’s degree or higher. There are some residents working remotely, with 11.4% reporting working from home.
| Metric | Latest Census | YoY % Change |
|---|---|---|
Population | 22,600 | 2.4% |
% Under 18 | 27.0% | -15.9% |
% Seniors | 13.1% | -10.3% |
% WFH | 11.4% | 132.7% |
% w/ College Degree | 24.6% | -8.2% |
As of the latest ACS Survey released in 2023, McAllen, TX is a predominantly hispanic area, with 92.2% of the population identifying as hispanic. The hispanic population has grown by 1.2% in the last 5 years. The second most common race or ethnicity in McAllen, TX is white, making up 3.4% of the population. Foreign-born residents account for 28.9% of the population in McAllen, TX, and this percentage has decreased by 24.7% as of the ACS Survey 5 years prior, suggesting fewer immigrants are calling the area home.
Race and Ethnicity
| Metric | Latest Census | 5-Year % Change |
|---|---|---|
% White | 3.4% | -30.6% |
% Black | 0.8% | -57.9% |
% Hispanic | 92.2% | 1.2% |
% Asian | 1.1% | -47.6% |
% Foreign Born | 28.9% | -24.7% |
Mortgage and Risk — McAllen, TX
According to HUD data as of 2023, there were 116 mortgage originations in McAllen, TX, of which 66.0% of loans were conventional mortgages. The average loan-to-value was 77.0%, with 38.0% above 90% LTV (very high). This implies large mortgage risk in McAllen, TX. Investor activity is low, as 11.0% of loans were by investors. 8.0% of loans were cash-out refinances, suggesting few homeowners are tapping equity.
Mortgages
| Metric | Zip Code Average |
|---|---|
Total Loan Originations | 116 |
% Conventional Loans | 66.0% |
% Government Loans | 34.0% |
% Investor Loans | 11.0% |
% Second Loans | 1.0% |
% Cash Out Refinance | 8.0% |
Loan Activity
Rentals and Section 8 — McAllen, TX
As of 2024, the percent of homes in McAllen, TX under the Section 8 program is 7.4%. This is considered low, suggesting that the neighborhood is sparsely composed of Section 8 homes. Section 8 opportunity is good when HUD pays more than market rent. 1-bedroom and 2-bedroom and 3-bedroom units appear to be good home sizes to consider for Section 8 housing in McAllen, TX, because HUD payments exceed market rent, while 4-bedroom units do not.
Section 8 Market Size
Total Units under HUD | 215 |
Total Units Section 8 | 215 |
% Rentals under Section 8 | 7.4% |
% Occupied Section 8 | 99.0% |
Section 8 Opportunity
| Home Size | HUD Premium | Market Rent | Max HUD Rent |
|---|---|---|---|
| 1 Bedroom | $165 | $795 | $960 |
| 2 Bedroom | $40 | $1,150 | $1,190 |
| 3 Bedroom | $50 | $1,500 | $1,550 |
| 4 Bedroom | -$1,080 | $2,800 | $1,720 |
Affordability — McAllen, TX
Home Price to Income Ratio
| Metric | Zip Code Average |
|---|---|
| Home Price to Income Ratio | 3.4 |
| Median Home Price | $178,000 |
| Median Household Income | $48,800 |