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Zip Code 78577

Pharr, TX • Hidalgo County

Real Estate Market Analysis

Q3 2025 Report
$205,000 (June 2025)
Median Home Value
~80,000 (2025 estimate)
Population
$46,000
Median Income
B- (Texas Education Agency 2024)
School District Rating

Market Statistics

Property Values

$205,000 (June 2025)
Median Home Value
$1,200 (estimated, varies by property type)
Median Rent
$138 (June 2025)
Price per Sq Ft

Market Performance

Home AppreciationDown 2.4% month-over-month; down 3.4% year-over-year
Market VelocityAverage days on market: 60-63; hot homes: 24-26 days; some multiple offers; average sale 3-4% below list price
Foreclosure RateLow to moderate (in line with county averages)

Area Information

Area Sizeapprox. 23 sq mi
CountyHidalgo
Primary CityPharr

Housing Profile

Housing Statistics

Total Housing Units~23,000 (estimated)
Owner Occupied~60%
Rental Properties~40%
Vacant Units~7%
New ConstructionLimited, with some infill and small subdivision projects

Housing Types

Single-family homesTownhomesSmall multifamilyApartments

Demographics

~80,000 (2025 estimate)
Population
29
Median Age
$46,000
Median Income
~94% (6% unemployment, slightly above state average)
Employment Rate
High school diploma or higher: 65%; Bachelor's degree or higher: 14%
Education Levels
Predominantly family households, average household size 3.7
Family Composition

Education Quality

School District Performance

B- (Texas Education Agency 2024)
District Rating
School DistrictPharr-San Juan-Alamo ISD
Test ScoresBelow state average in math and reading
Graduation Rates~88%

Schools in Area

  • PSJA North Early College High School
  • PSJA Southwest Early College High School
  • Several elementary and middle schools

Economic Factors

Employment & Business

Job GrowthSteady, 1.2% annual growth (2024-2025)
Unemployment Rate6% (2025)
Business EnvironmentGrowing logistics and retail sectors; moderate small business activity
Commercial ActivityActive along major corridors (Expressway 83, Jackson Rd)

Major Employers

  • PSJA ISD
  • City of Pharr
  • Retail (Walmart, H-E-B)
  • Healthcare (local clinics, hospitals)
  • Logistics/warehousing

Infrastructure & Quality of Life

Infrastructure

Transportation Access

  • • Interstate 2/Expressway 83
  • • Pharr International Bridge (trade)
  • • Local bus service (Metro McAllen)

Utilities & Services

  • • Electricity (Magic Valley Electric)
  • • Water/Sewer (City of Pharr)
  • • Natural Gas

Quality of Life

Safety & Environment

Moderate; property crime slightly above state average, violent crime below average

Fair; some air quality concerns due to proximity to highways and industry

Healthcare Access

  • • Rio Grande Regional Hospital
  • • Local clinics and urgent care

Development Trends

Planned Developments

  • Small residential subdivisions
  • Retail strip centers near Expressway 83

Infrastructure Projects

  • • Road widening (Jackson Rd, Cage Blvd)
  • • Drainage improvements

Investment Outlook

Growth Outlook

Moderate, driven by affordable housing and proximity to McAllen/Edinburg

Investment Opportunities

  • • Value-add single-family rentals
  • • Small multifamily conversions
  • • Retail pad sites

Marketing Intelligence

Target Demographics

  • First-time buyers
  • Young families
  • Investors (rental market)
  • Relocators from higher-cost TX metros

Competitive Advantages

  • Lower prices than McAllen/Edinburg
  • Strong rental demand
  • Access to international trade routes

Pricing Strategies

Competitive pricing below county median; incentives for quick close

Common Objections & Response Strategies

Objection: Lower school ratings

Response Strategy:

Highlight early college programs, improving graduation rates, and proximity to private/charter options.

Objection: Slower appreciation

Response Strategy:

Emphasize cash flow potential and affordability for investors and first-time buyers.

Objection: Crime concerns

Response Strategy:

Point to lower violent crime rates and active community policing.

Professional Recommendations

1

Leverage bilingual marketing and community outreach.

2

Highlight rental income potential to investors.

3

Educate buyers on local school options and programs.

4

Network with relocation specialists and local employers.

5

Monitor new construction and zoning changes for early investment opportunities.

Competitive Analysis

Comparable Markets

  • McAllen 78501/78504
  • Edinburg 78539
  • Mission 78572

Market Positioning

Affordable alternative to McAllen/Edinburg with strong rental demand

Competitive Advantages

  • Lower entry prices
  • Higher rental yields

Price Comparison

78577 median home price is $205K vs. Hidalgo County median $249.5K

Investment Metrics

6.5% - 7.5% (single-family rentals)
Cap Rates
6% - 8% gross
Rental Yields
~13-15
Price-to-Rent
Good for well-managed rentals; moderate for flips
Cash Flow
2-3% annual (2025-2027)
Appreciation

Buyer Journey Insights

First-Time Buyers

Attracted by affordability and down payment assistance; may need education on homebuying process.

Move-Up Buyers

Limited inventory of larger/newer homes; may consider nearby McAllen/Edinburg.

Downsizers

Smaller pool; focus on low-maintenance homes and security.

Investors

Strong rental demand, especially for affordable single-family and small multifamily.

Relocators

Drawn by cost of living, proximity to McAllen, and international trade.

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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