78573
Mcallen, Texas

The 78573 ZIP code in McAllen shows a median sale price of $269,500, down 6.3% year-over-year, indicating a cooling phase after previous appreciation. Homes are averaging 80 days on market, suggesting modest demand rather than urgency. Only 16% of properties sold above asking price in the recent period, confirming that sellers hold limited pricing power. This represents a clear shift from the tighter inventory conditions that characterized previous years in this South Texas market.

These conditions favor patient buyers with financing in place who can negotiate on price and terms. The 80-day average DOM creates room for inspection contingencies and due diligence without competitive pressure. Investors seeking cash-flow properties may find motivated sellers willing to accept below-list offers, particularly given the downward price trajectory. Sellers face a challenging environment unless properties are priced 5-8% below recent comparables to generate activity within 60 days.

The PropIQ score of 56 signals caution, suggesting further price erosion is possible if days-on-market extend beyond 90 days. The combination of negative price momentum and below-20% above-list sales indicates the market hasn't found equilibrium. Watch for stabilization in DOM and an increase in above-list transactions to 25-30% before confirming a bottom. Until those indicators shift, expect continued downward pressure on valuations through Q2 2026.