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Palacios

Palacios

Located in Matagorda County

$228,602 Average Value
$144 Average Price per Sq Ft
30 Homes For Sale

Palacios is a seaside town for bayfront living

Known as the “city by the sea,” Palacios has a slow-moving waterfront lifestyle on the bays and bayous of southeast Texas. Palacios has houses overlooking the Gulf, halfway between Houston and Corpus Christi, and is the site of the 17th-century La Belle shipwreck. “People want the waterfront without the hustle and bustle of bigger cities. You get the same effect as other towns, like Rockport, but in a quiet community. People move here from Houston, buy a second home or retire here,” says Tammy Hill, longtime resident and real estate agent with Texas Coastal Properties. Hill says saltwater activities are a significant part of living in Palacios. “People get out and enjoy the bayfront. They can go boating and fish off the piers. The sunsets are beautiful.”

Stilted homes line the breezy Gulf Coast

Swaying palm trees line the streets alongside stilted houses on the breezy Gulf Coast. Many homes have proximity to the waterfront and bay views. The area features architectural styles, including New Traditional, Craftsman, and contemporary ranch-style homes, with prices ranging from $100,000 to $730,000. The average lot size is nearly one-third of an acre, providing residents with ample storage and room to renovate. With a history that dates back to the 1700s, there is historic 20th-century architecture, with occasional Victorian homes and the Luther Hotel.

Multiple hurricanes affected the area in the 2020s. Strong storms may cause extreme winds and flooding damage. Much of southern Texas may experience extreme summer heatwaves with temperatures in the 100s, though Palacios may have slightly cooler temperatures due to the coastal breezes.

Palacios has fishing, jet skiing and sunset views by the bay

The community has numerous piers and boating areas throughout the Matagorda and Tres Palacios Bays. South Bay Park features a wooden fishing pier and is a popular spot for accessing the water, with a shoreline that becomes visible at low tide. There is also the South Bay Marina, which stores pontoons and jet skis for residents. East Bay Park features another pier and is known for its sunset views. Although it remains unnamed, a 1.5-mile seawall path is available for walking and biking along the bay. About 10 miles north of town, Carl Park has a wrap-around boardwalk pier and picnic tables near an RV park.

Palacios ISD offers ASL and bilingual education programs

Central Elementary School earns a B-minus grade from Niche, serving prekindergarten through second-grade students. East Side Intermediate School serves grades 3-5 and receives a B-plus. Students from sixth to eighth grade attend Palacios Junior High School, which scores a B-minus rating. Palacios High School maintains a B. The B-rated Palacios Independent School District offers bilingual studies for non-native speakers and an American Sign Language program.

PMR and Tran’s are go-to spots for dining in Palacios

Main Street is home to tackle-and-bait shops, boat stores and water sports outfitters. Residents can dine at the Palacios Mexican Restaurant. Also known as PMR, it is the town's Tex-Mex staple, with plates of steaming fajitas and margaritas. Tran's Restaurant is a family-owned eatery serving a variety of Chinese dishes and egg rolls. The town's grocery store is Lowe's Market, about a mile north of Main Street.

Matagorda Bay draws migrating birds and nature lovers

Matagorda Bay is a tidal wetland habitat that attracts hundreds of migrating bird species. The Matagorda Bay Birdfest is a spring festival featuring bird-themed floats, costumes and family-friendly activities. "Many people come here for the birds. Don't ask me what kind we have because I have no clue, but once a year, we have a big festival and parade," Hill says. Also, a prominent part of the community, the Texas Baptist Encampment is a well-established Christian facility that hosts summer camps for kids of all ages, with dormitories and meeting rooms for weekend retreats. "There are things to do. People are really involved with the Chamber Alliance and Rotary clubs.

Within reach of Houston, Corpus Christi and more

Palacios is a small town tucked between some of the biggest cities in Texas. It is about 110 miles from both Houston and Corpus Christi, and San Antonio is approximately three hours away. There is no public bus system, and most residents travel by car. State Route 35 is a main thoroughfare in and out of town. U.S. Highway 59 is about 30 minutes north. The nearest emergency room is the Palacios Community Medical Center, a 5-minute drive from Main Street. In Houston, George Bush Intercontinental Airport is roughly 130 miles northeast, offering direct, worldwide flights to many countries, including Australia, Mexico and Germany.

Jackson Hardy
Written By
Jackson Hardy

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Schools

Source:
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Parks in this Area

Palacios Housing Trends

Housing Trends

Median List Price
$240,000
Median Sale Price
$241,500
Median Single Family Sale Price
$210,000
Median Change From 1st List Price
6%
Last 12 months Home Sales
40
Median Home Sale Price YoY Change
31%
Average Price Per Sq Ft
$144

Area Facts

Number of Homes
471
Number of Homes for Sale
30
Median Year Built
1963
Months of Supply
9.00
Average Single Family Home Size Sq Ft
1,802
Below the national average
1,929
Median Lot Size Sq Ft
13,939

Open Houses

  • Saturday, Jan 17
    Open Sat 4:30PM - 6PM

    3042 County Road 452, Palacios, TX 77465

    $780,000

    • 3 Beds
    • 2 Baths
    • 2,299 Sq Ft
    • 3042 County Road 452

    Charming Waterfront Retreat on 16.25 Acres Welcome to your serene escape on Carancahua Creek! This beautifully maintained 3-bedroom, 2-bath home offers rustic charm with modern touches, including shiplap walls throughout and a spacious primary bathroom featuring a clawfoot soaking tub. Enjoy peaceful mornings and vibrant sunsets from the large sunlit deck overlooking the water. Perfect for

    Christina Hayden AEA Realty, LLC

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Homes for Sale

Homes for Rent

Distribution of Home Values

Source: Public Records

Average Home Value





Source: Public Records

Property Mix - Square Feet

Palacios Has More Owners

Demographics

Total Population
4,582
Median Age
38
Population under 18
27.8%
On par with the national average
23.8%
Population over 65
18.4%
On par with the national average
19.1%

Finances

Median Household Income
$61,638
Significantly below the national average
$79,601
Average Household Income
$68,015

Education and Workforce

High School Graduates
71.1%
Below the national average
89%
College Graduates
21.7%
Below the national average
34.1%
Advanced Degrees
6.7%
% Population in Labor Force
62.6%

Weather

Annual Precipitation
43''
Average Winter Low Temperature
46°F
Average Summer High Temperature
92°F
Annual Snowfall
0''

Area Factors

Somewhat Bikeable

Bike Score®®

26 / 100

Car-Dependent

Walk Score®®

4 / 100
Source: Walk Score
Source: Walk Score

Walk Score® measures the walkability of any address. Transit Score® measures access to public transit. Bike Score® measures the bikeability of any address. CAP Index provides objective, accurate, and consistent data to help measure, compare, and mitigate crime risks.

Disclaimer: Certain information contained herein is derived from information provided by parties other than Homes.com. Our sources include: Accuweather, Public Records and Neustar. All information provided is deemed reliable, but is not guaranteed to be accurate and should be independently verified.
Palacios