San Marcos TX Real Estate Market Data 2026
Key Takeaways:
San Marcos' median home price of $325,000 and 1,200 annual transactions create a mid-volume market where Texas State University's 38,000 students generate a parallel rental-investment economy alongside traditional homeownership
The city's position in Hays County between Austin (30 miles north) and San Antonio (50 miles south) on the IH-35 corridor makes it one of the few Texas markets with dual-metro employment access
Investor activity accounts for 28% of transactions — driven by student rental demand that produces 5.8-7.5% cap rates, well above the Austin metro average of 4.2-5.0%
The $250,000–$375,000 price band drives 60% of non-investor transactions, with young professionals and university staff comprising the core owner-occupant buyer pool
US Tech Automations helps agents navigate San Marcos' dual residential-investment market with investor pipeline CRM, student rental yield calculators, and automated neighborhood-specific farming sequences
San Marcos Market Fundamentals
San Marcos is a city in Hays County, Texas, located approximately 30 miles south of downtown Austin and 50 miles north of San Antonio along the IH-35 corridor in the Austin-Round Rock-Georgetown metropolitan area. The city's identity as the home of Texas State University — with 38,000 enrolled students — creates a market dynamic unlike any other Austin-area community, where student rental investment coexists with traditional homeownership in distinct but overlapping geographic zones, according to Hays County geographic and economic records.
What are the real estate market conditions in San Marcos TX? According to Austin Board of Realtors (ABoR) data, San Marcos' median home price of $325,000 positions it as the most affordable Hays County market — 16% below Buda ($385,000) and 28% below Austin proper. The market's 1,200 annual transactions and 3.5-month supply indicate a balanced market with modest seller advantage, according to supply-demand analysis.
| Market Indicator | San Marcos TX | Buda TX | Kyle TX | Austin Metro |
|---|---|---|---|---|
| Median Sale Price | $325,000 | $385,000 | $345,000 | $450,000 |
| Average Sale Price | $348,000 | $402,000 | $362,000 | $485,000 |
| Annual Transactions | 1,200 | 1,500 | 1,800 | 38,000 |
| Months of Supply | 3.5 | 2.8 | 3.2 | 3.8 |
| Median DOM | 45 | 38 | 42 | 48 |
| Price per Square Foot | $168 | $179 | $172 | $225 |
According to ABoR data, San Marcos' $168 price per square foot — 25% below the Austin metro average — reflects the university market's moderating effect on pricing. Student rental properties pull median prices downward while creating volume and velocity that support agent production, according to comparative market analysis.
San Marcos' combination of 1,200 annual transactions and 28% investor activity means approximately 336 investor deals annually — creating a secondary market within the market where agents who serve both owner-occupants and investors access nearly one-third more transaction opportunity, according to ABoR transaction segmentation data.
Transaction Volume Analysis
| Transaction Type | Annual Volume | Share | Avg. Price | Trend |
|---|---|---|---|---|
| Owner-Occupant Purchase | 625 | 52% | $355,000 | +3% YoY |
| Investor Purchase | 336 | 28% | $265,000 | +5% YoY |
| New Construction | 155 | 13% | $375,000 | +8% YoY |
| Acreage/Rural | 84 | 7% | $485,000 | +2% YoY |
What types of buyers dominate San Marcos? According to ABoR and Hays County deed records, owner-occupants comprise 52% of transactions — a lower share than typical Austin suburbs due to the university-driven investor segment. The investor segment's 5% year-over-year volume growth indicates strengthening interest in San Marcos rental properties, driven by student enrollment stability and dual-metro employment growth, according to investment trend analysis.
According to Texas State University enrollment data, the university's consistent 38,000-student enrollment and planned campus expansion create predictable rental demand that institutional and individual investors find attractive. The proximity to premium outlet shopping at San Marcos Premium Outlets also generates retail employment that supports non-student rental demand, according to economic development reports.
Price Distribution by Segment
| Price Range | Transaction Share | Buyer Profile | Avg. DOM |
|---|---|---|---|
| Under $200,000 | 12% | Student rentals, investors | 22 |
| $200,000–$275,000 | 18% | Investors, first-time buyers | 35 |
| $275,000–$350,000 | 30% | Young families, staff | 42 |
| $350,000–$425,000 | 22% | Move-up buyers | 48 |
| $425,000–$550,000 | 12% | Premium, established | 55 |
| $550,000+ | 6% | Rural acreage, custom | 72 |
According to ABoR price distribution data, the sub-$275,000 segment (30% of transactions) is dominated by investors targeting student rental properties — where 3-4 bedroom homes near campus generate $1,800-$2,400 monthly rent against $200,000-$275,000 acquisition costs. The $275,000-$425,000 band (52%) represents the traditional homeownership market where farming fundamentals apply, according to buyer segmentation analysis.
According to rental yield analysis, San Marcos investor properties in the sub-$275,000 range generate gross rental yields of 8.5-11.5% — nearly double Austin metro averages — making San Marcos one of central Texas's highest-yield student rental markets.
Historical Market Trends
| Year | Median Price | YoY Change | Annual Sales | Investor % |
|---|---|---|---|---|
| 2021 | $295,000 | +19.8% | 1,150 | 25% |
| 2022 | $340,000 | +15.3% | 1,080 | 30% |
| 2023 | $315,000 | -7.4% | 1,050 | 28% |
| 2024 | $318,000 | +1.0% | 1,120 | 27% |
| 2025 | $325,000 | +2.2% | 1,200 | 28% |
According to ABoR historical data, San Marcos experienced the Austin metro's typical pandemic surge and correction — but with a more pronounced 2023 decline (-7.4%) driven by investor pullback as interest rates compressed cap rates. The 2025 recovery to $325,000 with stable 28% investor participation indicates the market has repriced to sustainable levels, according to market cycle analysis.
Is the San Marcos market overvalued? According to affordability analysis, San Marcos' price-to-income ratio of approximately 4.8x falls within sustainable parameters for a university-adjacent market. The 25% discount to Austin metro price per square foot and dual-metro employment access provide fundamental support for current pricing, according to fair-value assessment.
University Market Dynamics
| University Metric | San Marcos Impact | Farming Implication |
|---|---|---|
| Student Enrollment | 38,000 | Massive rental demand base |
| Faculty/Staff | 4,200 | High-quality buyer pool |
| Annual Graduates | 8,500 | Post-graduation homebuyers |
| Campus Expansion Plans | $380M over 5 years | Construction employment boost |
| Off-Campus Housing Rate | 72% | 27,360 students need housing |
According to Texas State University institutional data, the 72% off-campus housing rate means approximately 27,360 students compete for rental housing annually. This demand base supports investor purchases and sustains vacancy rates below 3% in near-campus properties — a stability level that commercial real estate typically envies, according to student housing analysis.
According to university employment data, Texas State's 4,200 faculty and staff positions represent one of San Marcos' largest employer groups — creating a reliable pool of homebuyers with stable income, above-average education levels, and institutional loyalty that produces long tenure and eventual selling opportunities. Agents who establish relationships with incoming faculty through campus welcome programs build sustainable referral networks, according to relocation marketing analysis.
Neighborhood Market Analysis
| Neighborhood | Median Price | Annual Sales | Investor % | DOM |
|---|---|---|---|---|
| Downtown/University area | $265,000 | 220 | 55% | 25 |
| Blanco Vista | $395,000 | 180 | 8% | 42 |
| Kissing Tree (55+) | $415,000 | 120 | 5% | 48 |
| Whisper/Spring Lake | $345,000 | 165 | 15% | 40 |
| Hunter's Hill/Sagewood | $325,000 | 140 | 12% | 38 |
| Rural/Wimberley Rd | $485,000 | 95 | 5% | 65 |
According to ABoR neighborhood-level data, San Marcos splits into two distinct markets: the downtown/university zone with 55% investor activity and the suburban communities where traditional farming applies. Blanco Vista's $395,000 median and 8% investor share closely resembles Buda's market profile, while Kissing Tree's 55+ active-adult community creates an entirely different farming demographic, according to neighborhood segmentation analysis.
Commission and Agent Economics
| Commission Metric | San Marcos TX | Hays County | Austin Metro |
|---|---|---|---|
| Average Commission Rate | 5.15% | 5.1% | 5.0% |
| Agent-Side Commission | 2.58% | 2.55% | 2.5% |
| Commission per Transaction | $8,385 | $9,435 | $11,250 |
| Licensed Agents (Area) | 125 | — | — |
| Agents Closing 6+/Year | 22 (18%) | — | 25% |
What can agents earn farming San Marcos TX? According to MLS and TREC data, San Marcos' $8,385 average commission per transaction is below the Austin metro average, but the 1,200 annual transactions divided among only 22 active agents (closing 6+/year) create exceptional market share opportunity. An agent capturing 3% market share (36 transactions) earns $301,860 annually — strong production from a single farming zone, according to production modeling.
| Farming Strategy | Monthly Cost | Est. Deals | Annual GCI |
|---|---|---|---|
| Residential Focus (400 homes) | $650 | 4–7 | $33,540–$58,695 |
| Residential + Investor | $1,100 | 10–16 | $83,850–$134,160 |
| Full Market Dominant | $1,800 | 22–30 | $184,470–$251,550 |
According to farming ROI analysis, the hybrid residential-investor strategy generates the highest return per marketing dollar in San Marcos because the investor segment requires minimal direct mail — investors respond to data-driven outreach, cap rate analysis, and deal flow alerts rather than traditional farming materials. US Tech Automations investor pipeline workflows automate deal flow notifications based on price, cap rate, and location criteria — converting investor leads without manual prospecting.
Rental and Investment Analysis
| Investment Metric | Near Campus | Suburban | Rural |
|---|---|---|---|
| Median Acquisition | $245,000 | $325,000 | $450,000 |
| Monthly Rent (3BR) | $1,800–$2,200 | $1,600–$1,900 | $1,800–$2,200 |
| Gross Yield | 8.8–10.8% | 5.9–7.0% | 4.8–5.9% |
| Cap Rate | 5.8–7.5% | 4.2–5.2% | 3.5–4.5% |
| Vacancy Rate | 2.8% | 4.5% | 6.2% |
| Appreciation (5yr avg.) | +3.2% | +4.8% | +5.5% |
According to CoStar and local property management data, near-campus properties deliver the highest yields with lowest vacancy — but suburban properties provide stronger appreciation. Sophisticated investors build portfolios across both segments, using campus properties for cash flow and suburban properties for equity growth, according to portfolio optimization analysis.
Property Tax and Affordability Analysis
| Taxing Entity | Rate per $100 | Annual Tax on $325,000 Home |
|---|---|---|
| City of San Marcos | $0.5600 | $1,820 |
| Hays County | $0.3418 | $1,111 |
| San Marcos CISD | $1.2100 | $3,933 |
| Hays County ESD | $0.1000 | $325 |
| Total Effective Rate | $2.21 | $7,189 |
According to Hays County Tax Assessor records, San Marcos' effective tax rate of $2.21 per $100 is moderate for the Austin metro — higher than Buda ($1.96) but lower than many Williamson County communities. The $7,189 annual tax bill on a $325,000 home remains affordable within the city's income distribution, with 60% of households earning enough to absorb this cost alongside mortgage payments, according to tax burden analysis.
How do San Marcos property taxes affect affordability? According to affordability modeling, the total monthly housing cost for a $325,000 home (mortgage + taxes + insurance) ranges from $2,350-$2,550 depending on down payment and interest rate — achievable for households earning $78,000+ without exceeding the 36% debt-to-income threshold. This accessibility sustains the owner-occupant buyer pool that comprises 52% of transactions, according to housing cost analysis.
Historical Transaction Patterns
| Quarter | Avg. Transactions | Student Move-In Effect | Price Premium |
|---|---|---|---|
| Q1 (Jan-Mar) | 250 | Low | -2.0% |
| Q2 (Apr-Jun) | 350 | Moderate (summer leases end) | +2.5% |
| Q3 (Jul-Sep) | 340 | High (fall enrollment) | +1.5% |
| Q4 (Oct-Dec) | 260 | Low | -2.0% |
According to ABoR seasonal data, San Marcos' transaction pattern includes a unique university-driven component: Q3 activity remains elevated (unlike most markets) because fall semester enrollment creates rental demand that motivates investor purchases. The Q2 peak aligns with traditional family buying seasonality. Agents who understand this dual-cycle pattern can time campaigns to capture both seasonal buyer pools, according to seasonal demand analysis.
According to university housing cycle data, the 3-month period from May to July sees the highest investor purchase activity as landlords acquire properties for August lease-up — agents targeting investor buyers should concentrate marketing spend during this window, not during the traditional spring season.
USTA Platform Comparison for San Marcos
| Feature | US Tech Automations | kvCORE | BoomTown | Ylopo |
|---|---|---|---|---|
| Investor Pipeline CRM | Cap rate + deal flow | Basic | No | No |
| Student Rental Yield Calculator | Area-specific | No | No | No |
| University Staff Relocation | Faculty-focused sequences | No | No | No |
| Dual Residential/Investor Farming | Unified workflows | Separate | No | No |
| 55+ Community Targeting | Kissing Tree-ready | No | No | No |
| Monthly Cost | $149–$399 | $499+ | $750+ | $395+ |
Growth Drivers and Future Outlook
| Growth Factor | Current Impact | 2026-2028 Forecast | Confidence |
|---|---|---|---|
| Texas State enrollment growth | 38,000 students | 40,000+ projected | High |
| IH-35 expansion | Ongoing construction | Completion 2028-2030 | Certain |
| San Marcos Premium Outlets | 7,500 retail jobs | Expansion planned | High |
| Dual-metro employment access | Austin + San Antonio | Strengthening | Certain |
| Remote work migration | 18% of buyers | Growing | Medium |
| New master-planned development | 3 active communities | 2 additional planned | High |
According to economic development data, San Marcos' growth is supported by multiple independent factors — unlike single-employer-dependent markets (such as Taylor with Samsung). The diversified growth base reduces risk and supports more stable long-term appreciation, according to economic diversification analysis.
What is the outlook for San Marcos real estate? According to market forecast models, San Marcos' median price is projected to reach $345,000-$360,000 by 2028, representing 6-11% cumulative appreciation. The conservative projection assumes stable university enrollment and moderate employment growth; the optimistic scenario assumes Texas State reaches 40,000 enrollment and IH-35 expansion completion accelerates commuter demand, according to scenario modeling.
How to Farm San Marcos TX Effectively
Segment your farming strategy by neighborhood market type. According to ABoR data, downtown/university (55% investor) and suburban communities (5-15% investor) require fundamentally different messaging — US Tech Automations dual-segment workflows manage both simultaneously.
Build an investor pipeline for near-campus rental properties. According to transaction data, 336 investor deals annually represent a $89M market — agents who provide cap rate analysis and deal flow alerts capture repeat investor business.
Target Texas State faculty and staff through university channels. According to employment data, 4,200 faculty and staff represent a stable buyer pool — campus welcome events, department newsletters, and relocation assistance create exclusive access.
Farm Blanco Vista and Kissing Tree for premium transactions. According to neighborhood data, these communities' $395,000-$415,000 medians generate 40-50% higher per-transaction commissions than the market average.
Create post-graduation homebuyer campaigns for 8,500 annual graduates. According to Texas State data, graduates who remain in San Marcos represent a first-time buyer pipeline — automated 12-month nurture sequences convert renters to buyers.
Monitor university expansion announcements for construction employment impact. According to institutional planning data, Texas State's $380M campus expansion plan generates construction jobs and signals continued demand growth.
Develop comparative market tools showing San Marcos vs. Austin affordability. According to pricing data, the 28% discount to Austin per square foot is San Marcos' strongest buyer attraction — quantify the savings in monthly payment terms.
Track rental yield trends monthly to advise investor clients. According to rental data, near-campus yields fluctuate with enrollment and interest rates — agents who provide current yield analysis maintain investor relationships between transactions.
Leverage dual-metro positioning in relocation marketing. San Marcos' IH-35 location between Austin (30 miles) and San Antonio (50 miles) provides employment access to both metros — a unique value proposition for buyers uncertain about commute requirements.
Frequently Asked Questions
What is the median home price in San Marcos TX?
According to ABoR data, San Marcos' median home price is approximately $325,000 — 28% below the Austin metro average and the most affordable option in Hays County.
How does the university affect San Marcos real estate?
According to enrollment and transaction data, Texas State University's 38,000 students create consistent rental demand that drives 28% investor transaction share, sub-3% near-campus vacancy rates, and 5.8-7.5% cap rates.
How many homes sell in San Marcos annually?
According to ABoR data, San Marcos averages approximately 1,200 residential transactions per year, split between 52% owner-occupant, 28% investor, 13% new construction, and 7% rural/acreage.
Is San Marcos a good investment market?
According to investment analysis, near-campus properties deliver 5.8-7.5% cap rates with sub-3% vacancy — among the highest risk-adjusted returns in the Austin metro, driven by predictable student rental demand.
What are the best neighborhoods in San Marcos TX?
According to ABoR data, Blanco Vista ($395,000 median) and Kissing Tree ($415,000, 55+ community) lead the premium segment, while Hunter's Hill and Sagewood offer mid-range options at $325,000.
How competitive is real estate in San Marcos for agents?
According to TREC data, only 22 of 125 licensed agents (18%) close 6+ deals annually — creating significant market share opportunity for committed farming agents.
How far is San Marcos from Austin and San Antonio?
According to distance data, San Marcos is approximately 30 miles south of Austin and 50 miles north of San Antonio via IH-35, with commute times of 35-45 minutes to either metro core.
What is the rental market like in San Marcos?
According to CoStar data, near-campus 3-bedroom homes rent for $1,800-$2,200 monthly with sub-3% vacancy rates, while suburban rentals command $1,600-$1,900 with 4.5% vacancy.
Is San Marcos growing?
According to Census Bureau estimates, San Marcos' population has grown 18% since 2020 to approximately 72,000 — driven by university expansion, dual-metro employment access, and affordability relative to Austin.
What is the best farming strategy for San Marcos TX?
According to market analysis, the most effective approach combines residential neighborhood farming with investor pipeline management — US Tech Automations dual-segment workflows automate both from a single platform.
Conclusion: San Marcos' Dual-Market Opportunity
San Marcos represents a unique Austin-area farming opportunity where 1,200 annual transactions split between traditional homeownership and university-driven investment create two distinct revenue streams. The 28% investor transaction share — sustained by 38,000 students and predictable rental demand — adds a volume layer that most suburban markets lack.
The market's $325,000 median and 25% discount to Austin metro pricing provide fundamental affordability support, while dual-metro employment access along IH-35 broadens the buyer pool beyond typical single-metro bedroom communities. Agents who understand both the residential and investment segments capture the full market.
US Tech Automations provides the investor pipeline CRM, rental yield analytics, and dual-segment farming automation that San Marcos' university-influenced market demands. Start farming San Marcos' dual-market opportunity today.
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Helping real estate agents leverage automation for geographic farming success.
