Zip Code 77494

Katy, TXFort Bend County

Real Estate Market Analysis

Q3 2025 Report
$507,937 (April 2025)
Median Home Value
~120,000 (2025 est.)
Population
$128,000 (2025 est.)
Median Income
A (top-rated in Texas)
School District Rating

Market Statistics

Property Values

$507,937 (April 2025)
Median Home Value
$2,400/month (est., 2025)
Median Rent
$179–$199 (May–June 2025)
Price per Sq Ft

Market Performance

Home Appreciation2.0%–7.2% year-over-year (2024–2025)
Market Velocity28–41 days on market (2025)
Foreclosure RateLow (below national average, 2025)

Area Information

Area Size~62 sq mi
CountyFort Bend
Primary CityKaty

Housing Profile

Housing Statistics

Total Housing Units~35,000 (est.)
Owner Occupied~75%
Rental Properties~25%
Vacant Units~4%
New ConstructionActive, especially in master-planned communities

Housing Types

Single-family homesTownhomesLuxury estatesNew construction

Demographics

~120,000 (2025 est.)
Population
36
Median Age
$128,000 (2025 est.)
Median Income
Above state average; low unemployment
Employment Rate
High; 50%+ hold bachelor’s or higher
Education Levels
Predominantly families with children; some retirees and young professionals
Family Composition

Education Quality

School District Performance

A (top-rated in Texas)
District Rating
School DistrictKaty Independent School District (Katy ISD)
Test ScoresAbove state average; multiple National Blue Ribbon schools
Graduation Rates~96%

Schools in Area

  • Tompkins High School
  • Seven Lakes High School
  • WoodCreek Junior High
  • Stanley Elementary

Economic Factors

Employment & Business

Job GrowthSteady; driven by healthcare, education, logistics
Unemployment Rate~3.5% (2025 est.)
Business EnvironmentPro-business, strong small business presence
Commercial ActivityRetail, healthcare, logistics, dining

Major Employers

  • Katy ISD
  • Houston Methodist West Hospital
  • Amazon
  • Energy sector firms

Infrastructure & Quality of Life

Infrastructure

Transportation Access

  • I-10 (Katy Freeway)
  • Grand Parkway (TX-99)
  • Westpark Tollway

Utilities & Services

  • City water/sewer
  • Electricity (CenterPoint, Reliant)
  • Natural gas

Quality of Life

Safety & Environment

Low; well below Houston metro average

Good; master-planned green spaces, flood mitigation

Healthcare Access

  • Houston Methodist West
  • Memorial Hermann Katy
  • Texas Children’s Hospital West

Development Trends

Planned Developments

  • New phases in Cross Creek Ranch, Firethorne, and Tamarron
  • Expansion of retail at Katy Boardwalk

Infrastructure Projects

  • Grand Parkway expansion
  • Drainage/flood mitigation upgrades

Investment Outlook

Growth Outlook

Strong; continued in-migration and new builds

Investment Opportunities

  • Build-to-rent
  • Luxury home flips
  • Retail/medical office development

Marketing Intelligence

Target Demographics

  • Move-up families
  • Relocating professionals
  • Investors
  • Retirees seeking amenities

Competitive Advantages

  • Top-rated schools
  • Master-planned communities
  • Proximity to Houston

Pricing Strategies

Price slightly above comps for move-in ready homes; use aggressive pricing for homes needing updates

Common Objections & Response Strategies

Objection: High home prices compared to 2022–2023.

Response Strategy:

Emphasize strong appreciation, top schools, and long-term value.

Objection: Rising mortgage rates.

Response Strategy:

Highlight local wage growth, potential for refinancing, and seller concessions.

Objection: Competition and bidding wars.

Response Strategy:

Advise on pre-approval, flexible terms, and off-market opportunities.

Professional Recommendations

1

Focus on school quality and amenities in marketing.

2

Educate buyers on market velocity and pre-approval importance.

3

Leverage new construction incentives for buyers.

4

Advise sellers on pricing for move-in ready homes.

5

Monitor inventory and new developments for investment opportunities.

Competitive Analysis

Comparable Markets

  • Sugar Land 77479
  • Cypress 77433
  • Richmond 77406

Market Positioning

Premium suburban family market

Competitive Advantages

  • Higher-rated schools
  • Newer housing stock
  • More amenities

Price Comparison

Slightly higher than nearby zip codes due to schools and amenities

Investment Metrics

4.5%–5.2% (single-family rentals, 2025)
Cap Rates
~5% gross yield
Rental Yields
~18–20
Price-to-Rent
Moderate; best for long-term holds and appreciation
Cash Flow
3%–6% annually (2025–2027)
Appreciation

Buyer Journey Insights

First-Time Buyers

Face competition; benefit from new construction and down payment assistance.

Move-Up Buyers

Strong equity positions; motivated by schools and amenities.

Downsizers

Options in townhomes and active adult communities; lower maintenance appeal.

Investors

Attracted by rental demand and appreciation; focus on single-family and build-to-rent.

Relocators

Drawn by schools, safety, and proximity to Houston; need virtual support.

This zip code analysis was generated using comprehensive market data and AI intelligence.

Market conditions change rapidly - consult with local real estate professionals for the most current information.

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