Murphy is a fast-growing community with a history that goes back to the early 1900s. Murphy is located in southern Collin county, within the Dallas/Fort Worth metroplex. Situated midway between Plano and Wylie on FM 544, Murphy is two miles (3 km) south of the famous Southfork Ranch. Its borders enclosing only , Murphy shares borders with Plano, Richardson, Wylie, Sachse, and Parker. It is approximately from downtown Dallas and about from D/FW Airport.
The community supports plans to continue to foster the country-living atmosphere, though with fewer large lots. Minimum lot sizes are , and the average lot size trends toward .
Several subdivisions have begun building and are occupied. The newest approved development is on the northeast side of the city along Maxwell Creek. The country living theme is expressed in this development by a linear park, which is expected to include a hike-and-bike trail. The major new feature to be noted in the Future Land Use Plan is a central business district at the northeast and northwest corners of the intersection of FM 544 and Murphy Road. This is expected to encompass a park-like area with offices and stores fronting on a central plaza. Construction on such a development, Murphy Marketplace, began in 2008. It now contains numerous restaurants and services. The municipal complex comprises a total of four buildings to serve Fire, Police, City Administration, and Public Works.
With the opening of the President George Bush Tollway, access to the west became a reality in 1999. The highway is a major factor in the growth of the economy of Southeast Collin County. Its impact on Murphy has already been felt in the rapid expansion as new homes have been built, with the boom starting in 1999. The population in late 2002 was about 6,500 and continued to grow to around 12,000 in 2006. The 2010 census reported a population of 17,708. The city was rated #7 in the "Best Places to Live" survey of Dallas Suburbs in the July 2008 D Magazine, and #9 in the 2010 edition of the article (By comparison Dallas was #54, and neighboring Plano was #18). In 2011 the city was rated #27 in America by "Money's list of America's best small towns".