COVID was such a weird time in the world. Texas, along with every other state, was experiencing things they'd never been through, as it was unprecedented. Businesses having to shut their doors, people quarantined inside their homes, and told not to socialize.

It was also a time when many people lost their jobs, had to cut expenses, and many even moved to places that were cheaper to live in anticipation of what could come.

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What City In Texas Benefitted Most

It certainly wasn't a big city that got to reap the benefits of the pandemic. Many were looking to get away from the high-cost living of the big city. It was the smaller cities that saw the booms thanks to low-cost housing and overall living.

However, no city in Texas benefited more than little McAllen, Texas. Situated just a touch north of the U.S.-Mexico border, McAllen saw an influx of new residents looking to cut their costs and be able to live comfortably during the tough period.

Read More: Top 10 Fastest Growing Cities In U.S. Include Four Texas Cities

Now, People Are Leaving McAllen

Just five years after the pandemic, McAllen is now dealing with the sharpest decline in home buyers in the entire country. During the spring months, data shows that 65% of those in McAllen looking at home listings were looking outside the city.

That's a 30% increase from 2019, which was just before the pandemic, and is the biggest jump in all the metro areas that were analyzed.

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Why Are People Leaving McAllen, TX. So Quickly

Bottom line? It's not as affordable as it was when everyone moved in. When a city is booming, it brings new business with all the new residents there. It also increases property values as people tend to be willing to bid a bit more since it's still typically cheaper than most places.

Now that McAllen is full of people and businesses, the cost of living has risen so much, people are looking to get out to places that aren't as expensive. Another factor was as people were allowed to start returning to work full-time, it wasn't as convenient to live there. To further it, unemployment in the city has risen.

How Much More Expensive Is McAllen Now Compared To The Pandemic Era

Home prices as of June 2025 have jumped more than 38% since 2019, and the median home price in McAllen now stands at $274,950. That's an increase of over $104,000 over a six-year period. Couple that with the unemployment rate rising, and it's become unaffordable to live there at this point.

Those who have lived in McAllen prior to the surge have also taken advantage of the new home equity to relocate to bigger cities with the profits made from selling their homes.

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