Sunset Valley is a city in Travis County, Texas, United States. It has a population of 749 according to the last census. It’s an enclave meaning that it’s surrounded on all sides by the city of Austin. There is evidence of land transaction in the area in the 1850s, but the city was founded as a separate entity in the 1950. The city now about 140 households and the median income for a household in Sunset Valley is about $78.000. The City Council consists of one Mayor and five Council Members. Sunset Valley is within the Austin Independent School District.