Single Family Home for sale by owner in Palacios, TX 77465. Located on the Texas Coast, half way between Galveston and Corpus Christi, Cape Carancahua is a gated community. The Cape is surrounded by water, the Carancahua River flows around us, and empties into the Matagorda Bay/Gulf of Mexico, for excellent access to Gulf fishing. There are water views from the park like yard of this home which sits on 4 lots. Approx 3/4 of an acre. Located on the East side of the Cape, near the park and fishing... See site for full property details.