San Marcos Entry-Level Homes: Affordability Check

What does it take to buy an entry-level home in San Marcos today? For the bottom quartile of sales in October, the median price was $267,354 across 48 closed transactions. This figure represents the most affordable tier of single-family homes sold in the city during the month. ALEX Intelligence analyzed the payment burden for this segment using current market rates. With a 30-year fixed mortgage rate at 7.18% (Freddie Mac, week of Nov 5, 2026) and a standard 20% down payment, the principal and interest payment on a median entry-level home is approximately $1,449 per month. This calculation excludes taxes and insurance but provides a baseline for monthly carrying costs. The market context shows significant price shifts compared to last year. The median price for these entry-level homes dropped 24.6% from October 2025, while the number of sales in this tier remained relatively stable with only a 2.1% increase in volume. However, the time on market has lengthened; homes in this segment spent an average of 90 days selling, which is 23.3% longer than the prior month and 4.7% longer than last year. Buyers in this price range are also seeing more negotiation room. The median close-to-original list ratio for all sales was 90.4%, meaning homes sold for roughly 90 cents on the dollar, a slight decrease from the previous period. This combination of lower prices and extended listing times suggests a shift toward buyer leverage in the entry-level segment of San Marcos. ALEX Intelligence estimate, not an appraisal. Want a closer look? Reply or call George at 713.918.9951 and we'll set up a showing. Data from Unlock MLS. Information deemed reliable but not guaranteed. Model outputs are ALEX Intelligence estimates, not appraisals. Read more Central Texas market data on the ALEX blog: https://alex-companies.com/blog