Palacios, TX
Population 4,394 · Texas
About Palacios, TX
Palacios is a small town located in Texas with a population of 4,394 residents according to the latest US Census Bureau American Community Survey data. The median household income is $60,613 per year, which is 19% below the national median of $75,149. The median age of 40.8 years is close to the US median age of 38.9 years.
Housing Market Overview
The housing market in Palacios features a median home value of $153,000, which is 38% below the national median of $244,900. This positions Palacios in a moderately priced market relative to the rest of the country. Median monthly rent is $1,042, 10% below the national average of $1,163/month. Of the 2,101 total housing units, 78% are owner-occupied (1,368 units) and 22% are renter-occupied (378 units). The high homeownership rate suggests a stable, established residential community.
Economy & Employment
The local economy in Palacios shows an unemployment rate of 0.0%, which is lower than the national rate of 3.7%, indicating a relatively strong job market. The poverty rate stands at 16.0%, above the national average of 12.4%. Workers in Palacios have an average one-way commute time of 18.9 minutes, one of the shorter commutes in the region.
Education & Demographics
22.2% of Palacios residents aged 25 and older hold a bachelor's degree or higher, compared to the national average of 33.7%. The lower educational attainment rate may reflect the area's industry mix, with more employment in trades, manufacturing, or agricultural sectors. The community's demographic composition includes 67.1% White, 0.7% Hispanic or Latino, 0.0% Black or African American, and 0.0% Asian residents, with 8.4% of the population being foreign-born.
Cost of Living in Palacios, TX
Compared to national averages, Palacios has a median household income of $60,613 (19% below the national median of $75,149). Home values average $153,000, which is 38% below the national median. Monthly rent at $1,042 is 10% below the US average of $1,163. Within Texas, Palacios's income is 17% below the state average of $72,726, and home values are 28% below the state median of $211,769.
Why Live in Palacios, TX?
Palacios offers affordable housing with a median home value of $153,000, below the US average of $244,900, and rent that’s lower than the national average at $1,042/month, and a strong job market with an unemployment rate of just 0.0%. Additionally, the city features short commute times averaging just 18.9 minutes.
Potential considerations include median household income ($60,613) that falls below the national average. However, Palacios’s smaller community size offers a quieter lifestyle and tight-knit neighborhoods.
Palacios has a population of 4,394 with a median age of 40.8 years. Compare Palacios with other cities to see how it stacks up, or explore all cities in Texas.
Similar Cities Near Palacios
Cities in Texas with a similar population size.
| City | Population | Median Income | Home Value | |
|---|---|---|---|---|
| Denver City | 4,388 | $84,333 | $184,000 | Compare |
| Pittsburg | 4,401 | $48,081 | $130,600 | Compare |
| Canton | 4,411 | $48,858 | $189,200 | Compare |
| Devine | 4,430 | $45,703 | $145,600 | Compare |
| Hunters Creek Village | 4,358 | $250,001 | $2,000,001 | Compare |
| Falfurrias | 4,443 | $38,696 | $78,500 | Compare |
| La Grange | 4,448 | $57,212 | $320,000 | Compare |
| Tulia | 4,451 | $32,299 | $87,300 | Compare |
Demographics
Racial & Ethnic Composition
Economy & Education
Housing
Other Cities in Texas
Data source: US Census Bureau ACS 5-Year Estimates. Last updated: 2026-04-05.
Compare Palacios With Other Cities
Frequently Asked Questions about Palacios
What is the population of Palacios, TX?
The population of Palacios, TX is 4,394 according to the latest US Census Bureau American Community Survey estimates. This makes it a small town in Texas.
What is the median household income in Palacios?
The median household income in Palacios, TX is $60,613 per year, which is 19% below the national median of $75,149.
What is the median home value in Palacios?
The median home value in Palacios, TX is $153,000, which is 38% below the national median of $244,900. The majority of housing units are owner-occupied.
What is the average rent in Palacios?
The median monthly rent in Palacios, TX is $1,042, which is 10% below the national average of $1,163/month.
What is the unemployment rate in Palacios?
The unemployment rate in Palacios, TX is 0.0%, compared to the national average of 3.7%. This lower-than-average rate suggests a relatively healthy local job market.
Is Palacios, TX a good place to live?
Palacios offers a moderate cost of living, affordable housing, and a strong job market. With a population of 4,394 and a median age of 40.8, the city appeals to a broad range of residents.
How educated is Palacios, TX?
22.2% of residents in Palacios aged 25 and older hold a bachelor's degree or higher, compared to the national average of 33.7%. The educational profile reflects the area's industry mix and employment landscape.
What is the cost of living in Palacios?
Key cost-of-living indicators for Palacios, TX: median home value is $153,000 (38% below national), median rent is $1,042/month, and median household income is $60,613. The home-value-to-income ratio is 2.5x, indicating relatively affordable housing relative to local incomes.
What is the poverty rate in Palacios?
The poverty rate in Palacios, TX is 16.0%, compared to the national average of 12.4%. Residents and prospective movers should be aware of the economic challenges facing parts of this community.
How diverse is Palacios, TX?
Palacios's population is 67.1% White, 0.7% Hispanic or Latino, 0.0% Black or African American, 0.0% Asian, and 0.7% two or more races. 8.4% of residents are foreign-born.