Police in a US city have found seven people as shot dead among unwrapped holiday presents.

Police in a Dallas suburb dubbed the 'Christmas Capital of Texas' searched for clues Monday to explain the apparent murder-suicide rampage that left seven people shot dead among unwrapped holiday presents, the Daily Mail reported. 

The dead -- four women and three men, one of them believed to be the gunman -- were found late Sunday morning in an apartment living room in the town of Grapevine by police, said authorities. 

Two pistols were recovered from the home, said Sergeant Robert Eberling of the Grapevine police department, who called it a "gruesome crime scene" and the worst outburst of gun violence in the town's history.

According to Eberling, it appeared as though the bloodbath unfolded during a family holiday celebration as one man opened fire on six other people in the apartment, then killed himself.