Prices dropped 7.8% here while the schools filled up. That is a supply story, and it decides how you should price. Call (832) 207-3277 before you list against a builder.
The Agency Team, 1111 N. Loop W. Suite 860, Houston TX 77008. Broker Waldina Galeano, TREC #665052. Over 100 agents and more than 1,000 Houston families served each year.
The median sale price in Magnolia was $261,471 in May 2026, down 7.8% from a year earlier, with homes averaging 58 days on market. At the same time Magnolia ISD added roughly 670 students in a single year against a projection of 479, and revised its forecast to about 4% annual growth for the next decade.
Those two facts look contradictory and are not. Growth raises prices only when land is scarce. Out here it is not. Magnolia ISD counts approximately 1,200 vacant developed lots ready to build on today and more than 32,000 lots platted for future development, with 32 subdivisions actively building and 18 more planned.
That is the single most important thing a Magnolia seller needs to understand. Your competition is not the neighbor listing at $270,000. It is a builder half a mile away who can discount, buy down the rate, cover closing costs, and hand over a warranty, and who has thousands of lots behind him. A resale that is priced as though it competes only with other resales sits.
Sellers in Magnolia keep pricing against their neighbors when their real competition is a builder with a model home, a rate buydown, and thirty more lots behind him. I have watched good houses sit for four months because nobody ran that comparison first. Before we set a number out here we go find out what the builders down the road are giving away this month, because that incentive package is what your buyer is actually deciding against. Waldina Galeano, Broker and CEO, The Agency Team
TREC Broker License #665052
Land, mostly. The corridor northwest of Houston draws people who want acreage, tree cover, and distance, and the housing stock reflects that: established single story homes on large parcels alongside newer custom builds tucked into wooded sections.
The tradeoff is infrastructure. Much of this area sits outside city water and sewer, which means septic systems and well water on some properties and Municipal Utility District service on others. Neither is a problem, but both are questions with dollar amounts attached, and neither shows up in the listing price.
On any acreage property here, ask three things before you go far: is it on septic or MUD sewer, when was the septic system last inspected, and what is the water source. A septic system nearing replacement is a five figure line item that a buyer discovers at inspection and renegotiates hard on.
A large share of new development in this area is served by Municipal Utility Districts, and the City of Magnolia has been annexing land into districts such as Montgomery County MUD No. 108 as growth continues.
A MUD funds the water, sewer, and drainage infrastructure for a development by issuing bonds, and it repays those bonds through a tax on the homes inside it. That tax sits on top of county, school, and other rates. Two homes at the same price in the same school district can carry meaningfully different annual tax bills purely because one is inside a MUD and one is not.
Get the full tax rate for the specific address, not the county rate, before you decide what you can afford. The difference between a MUD property and a non MUD property on a $290,000 home can be enough to change which house you can qualify for.
Voters passed a $465 million bond in May 2026 to address overcrowding and growth. Enrollment is projected to pass 17,200 students in 2026 to 2027 and 22,000 by 2031 to 2032.
For a buyer with young children that is genuinely good news, because it means capacity is being built rather than deferred. For any owner it also means the school portion of the tax bill is funding construction for years, and it means attendance boundaries in a fast growing district get redrawn. A home zoned to a particular campus today is not guaranteed to stay zoned there.
If school assignment is driving your purchase, confirm the current zone with the district directly and ask whether the address falls in an area under boundary study. That question costs nothing to ask and it is not one a listing will answer.
About $261,471 as of May 2026, down 7.8% year over year, with a typical home value closer to $289,534 and an average of 58 days on market. Prices softened despite strong population growth because lot supply is abundant.
Because growth only lifts prices where land is constrained. Magnolia ISD has roughly 1,200 developed lots ready to build on and more than 32,000 lots platted for the future, with 32 subdivisions actively building. New supply absorbs demand, so resale sellers compete directly against builders who can discount and buy down rates.
A Municipal Utility District funds water, sewer, and drainage infrastructure through bonds and repays them with a tax on homes inside the district, on top of county and school taxes. Much of the new development in this area is MUD served, including ongoing annexation into districts such as Montgomery County MUD No. 108. Always get the full tax rate for the exact address rather than the county rate.
Both exist. Established acreage properties are often on septic and sometimes on well water, while newer subdivisions are typically MUD served. On any acreage purchase, confirm the sewer type, the date of the last septic inspection, and the water source before you spend money on inspections.
It is growing faster than it projected. The district expected 479 additional students for 2025 to 2026 and added roughly 670, then revised its outlook to about 4% annual growth for a decade. Voters passed a $465 million bond in May 2026 to add capacity. Expect attendance boundaries to shift as new campuses open.
Against the builders, not just against other resales. Find out what incentives nearby builders are offering on comparable square footage, because that package is what your buyer is weighing you against. Then price to the trailing 90 days and plan for roughly two months on market.
Market figures: Redfin and Zillow Magnolia market data and Magnolia ISD growth and bond information . Figures move monthly. Call for the current read on your street.
Send us the address and we will come back with closed comps, the full tax rate including any MUD, and what nearby builders are currently offering on comparable square footage.