The Town FilesPalacios, Texas
City in Matagorda County · population 4,395 (2020 Census)
- Median home
- $153,800
- Household income
- $52,620
- Jan low / Jul high
- 46° / 92°
- Snow a year
- 0 in
- Tornadoes ≤10 mi since 1950
- 13
- Median age
- 46.2
Palacios is a city of 4,395 people in Matagorda County, Texas. The median home is worth $153,800, below the typical Texas town ($184,100). It ranks more seaside character than 100% of Texas towns, better for cycling than 100% of Texas towns, better transit than 94% of Texas towns.
- #2 in The 16 Best Seaside Small Towns in Texas
- #19 in The 25 Quietest Small Towns in Texas
- #21 in 25 Small Towns in Texas With the Oldest Homes
- #25 in 25 Small Towns in Texas With the Coolest Summers
- #32 in The 50 Most Affordable Seaside Small Towns in America
- #44 in The 50 Most Affordable Seaside Places in America
How Palacios ranks
Percentile among Texas towns with at least 500 people on The Town Files lifestyle rankings. 50 is typical for the state; 90 means better than 90% of Texas towns.
Homes and cost of living
The median home in Palacios is worth $153,800, below the typical Texas town ($184,100). Homes cost about 2.9 times the median household income of $52,620, which is more affordable than 53% of Texas towns. Median rent is $785 a month. 84.0% of households own their home.
| Housing | Palacios | Typical Texas town |
|---|---|---|
| Median home value | $153,800 | $184,100 |
| Median rent | $785 | $1,086 |
| Median household income | $52,620 | $65,842 |
| Home value ÷ income | 2.9× | 2.9× |
| Homeownership | 84.0% | 72.9% |
| Median year built | 1964 | 1985 |
| Seasonal / vacation homes | 1.5% | — |
Who lives in Palacios
| People | Palacios | Typical Texas town |
|---|---|---|
| Median age | 46.2 | 37.1 |
| Age 65 and over | 22.9% | 15.6% |
| Under 18 | 17.4% | — |
| Bachelor's degree or higher | 22.8% | 18.9% |
| Below the poverty line | 19.2% | 13.1% |
| Veterans | 7.4% | — |
| Born outside the U.S. | 11.0% | — |
| Work from home | 0.0% | 7.8% |
| Average commute | 23.6 min | 26.1 min |
| Homes with broadband | 78.2% | 89.2% |
Weather in Palacios
July highs average 91.7°F and January lows 46.0°F. About 43.1 inches of rain and melted snow fall a year, with 0.3 inches of snow (typical Texas town: 0.2 in). Expect about 82 days a year at 90°F or hotter and 5 nights at or below freezing.
Tornadoes, storms and disasters
13 tornadoes have passed within 10 miles of Palacios since 1950, compared with 21 for the typical Texas town. 2 rated (E)F2 or stronger. The strongest, an F3, struck on September 20, 1967 about 1.0 miles from the town center and killed 4. Tornadoes within 10 miles have caused 4 deaths and 7 injuries since 1950. The most recent was on July 15, 2003.
Hail of 1 inch or larger has been reported within 10 miles 3 times; the largest was 2.00 inches on April 26, 1973.
Severe weather in Matagorda County since 1996
Matagorda County has been included in 29 federal disaster or emergency declarations since 1953, most often for fire, flood, hurricane.
| Declared | Incident | Declaration |
|---|---|---|
| July 9, 2024 | Hurricane | DR-4798: Hurricane Beryl |
| February 19, 2021 | Severe Ice Storm | DR-4586: Severe Winter Storms |
| February 14, 2021 | Severe Ice Storm | EM-3554: Severe Winter Storm |
| August 24, 2020 | Hurricane | EM-3540: Tropical Storms Marco And Laura |
| July 26, 2020 | Hurricane | EM-3530: Hurricane Hanna |
Jobs and pay in Matagorda County
Matagorda County had 11,209 jobs in 2024, paying an average of $68,994 a year. Unemployment was 5.4% in 2023; in Palacios itself the ACS puts it at 1.3%.
Public schools in Palacios
3 public schools with 1,266 students, about 12.4 students per teacher.
| School | Grades | Students | Per teacher |
|---|---|---|---|
| PALACIOS JUNIOR SENIOR H S | 6-12 | 659 | 11.6 |
| CENTRAL EL | PK-2 | 359 | 14.4 |
| EAST SIDE INT | 3-5 | 248 | 12.4 |
Towns near Palacios
- Bay City, TX24.7 mi · 18,061 people · home $160,800
- Port Lavaca, TX25.1 mi · 11,557 people · home $128,200
Palacios questions
Is Palacios, Texas a good place to retire?
On The Town Files lifestyle rankings, Palacios scores better for retirees than 50% of Texas towns and quieter than 85%. 22.9% of residents are 65 or older (median age 46.2).
How much does a house cost in Palacios?
The median owner-occupied home in Palacios is valued at $153,800 (Census ACS 2020–2024), against a median household income of $52,620, so homes cost about 2.9 times income. Median rent is $785 a month.
What is the weather like in Palacios?
July highs average 91.7°F and January lows 46.0°F (NOAA 1991–2020 normals). It gets about 43.1 inches of precipitation a year and 0.3 inches of snow.
Does Palacios get tornadoes?
13 tornadoes have passed within 10 miles of Palacios since 1950 (NOAA Storm Events); the strongest was a F3 on September 20, 1967. The typical Texas town has had 21.
- U.S. Census Bureau, American Community Survey 5-year estimates (2020–2024)
- U.S. Census Bureau, 2020 Census and 2025 Gazetteer (2020 / 2025)
- NOAA NCEI U.S. Climate Normals (1991–2020)
- NOAA NCEI Storm Events Database (1950–2026)
- FEMA OpenFEMA Disaster Declarations (this product uses the FEMA OpenFEMA API but is not endorsed by FEMA) (1953–2026)
- NCES Common Core of Data (2023–24)
- BLS Quarterly Census of Employment and Wages; USDA ERS county unemployment (BLS LAUS) (2000–2024)
- The Town Files lifestyle rankings, built from federal demographic, school, crime and housing data (2025)