While the overall numbers from the CALIFORNIA ASSOCIATION OF REALTORS® (C.A.R.) might show a general uptick in California home sales for November, digging a little deeper reveals a more complex picture. It turns out that 24 counties across the state experienced annual price declines in their median home prices. This challenges the idea of a simple, universal market surge and suggests that the California housing market is anything but a monolith.

24 Counties in the California Housing Market Post Annual Price Declines

Let's get straight to it: even as statewide sales reached a three-year high, the reality on the ground in many local areas points to a cooling or at least a plateauing of home values. The median price for an existing single-family home statewide was $852,680 in November. This is technically flat compared to November of last year, but that small difference hides a lot of local variation.

Where Prices Are Dropping

The C.A.R. data clearly shows that not all parts of California are seeing their home prices rise. In fact, a significant number of counties have seen their median prices dip when compared to November 2024. For instance, in the Central Valley, the median home price saw a 1.0 percent decrease year-over-year, settling at $490,000. Similarly, the San Francisco Bay Area, a region typically known for its soaring property values, experienced a 3.2 percent decline in its median home price, now standing at $1,275,000.

Even within these broader regions, specific counties showcase these downward trends more dramatically:

• San Benito County: Saw a significant 11.3 percent drop in its median home price, falling to $732,500.
• Lassen County: Experienced one of the steepest declines at 26.6 percent, with its median price now at $185,000.
• Amador County: Reported an 11.9 percent decrease in median price, now at $470,000.
• Lake County: Noticed a 4.3 percent decrease, with the median price at $335,000.
• Humboldt County: Saw a 9.9 percent decline, bringing its median price to $410,000.
• Mono County: Though its price increased slightly year-over-year by 2.0%, it saw a substantial 19.0% drop month-over-month, indicating volatility.

This data is crucial because it highlights that buyers looking for more affordable options might find opportunities in these specific areas, while sellers need to be aware of the local pricing trends.

The Bigger Picture: Sales vs. Price Growth

It's important to reconcile the reported increase in sales with these price declines. While the statewide sales increased by 2.6 percent year-over-year to 287,940 homes, this surge doesn't automatically translate to price hikes everywhere. Several factors might be at play:

• Inventory Levels: In many areas with declining prices, the unsold inventory might have increased, giving buyers more leverage. For example, many counties saw their Unsold Inventory Index rise year-over-year.
• Buyer Demand Shifts: Buyers might be prioritizing affordability, especially with ongoing economic uncertainties, leading them to areas where prices are more accessible or declining.
• Affordability Constraints: Even with slightly lower mortgage rates, the sticker price of homes, especially in once-hot markets, remains a significant barrier for many. When prices dip in certain counties, it can attract buyers who were previously priced out.
• The Nature of Median Price: It's important to remember that the median price is simply the middle point of all sales. A few high-value sales in one month compared to another can skew this number. However, when 24 counties show year-over-year declines, it’s a strong signal of a broader trend in those areas.

Regional Dynamics: A Mixed Bag

Let's look at how these price declines are distributed across California's regions, according to C.A.R.'s November 2025 report:

• San Francisco Bay Area: As mentioned, this region saw a collective 3.2 percent drop in its median home price. Individual counties within this region also showed significant declines:
  • Alameda: -7.2%
  • Marin: -9.5%
  • San Mateo: -8.8%
  • Solano: -2.8%
  • Sonoma: -0.5% However, a few counties like Napa (+4.1%) and San Francisco (+12.6%) bucked this trend, showing price appreciation. This highlights the continued disparity even within the Bay Area.
• Central Valley: This region saw a 1.0 percent decrease in its median home price. Here are some notable county figures:
  • Kern: -2.5%
  • Sacramento: -2.8%
  • San Benito: -11.3%
  • Stanislaus: -1.0%
  • Tulare: -3.1% Counties like Glenn (+3.1%) and Merced (+6.0%) showed price gains, illustrating the diverse economic forces at play in the Central Valley.
• Central Coast: This region experienced a slight 0.2 percent increase overall, but some counties saw declines:
  • Monterey: -3.1%
  • San Luis Obispo: -1.6% Conversely, Santa Barbara saw a healthy 9.6% increase.
• Southern California: This large region saw a 1.2 percent increase in its median home price. However, several counties within Southern California actually reported annual price declines:
  • San Bernardino: -2.5%
  • Imperial: Despite an 11.6% monthly increase, the year-over-year price saw a 0.0% change.
  • Los Angeles saw a slight 0.6% annual increase, but monthly figures indicate a downward trend.

It's also worth noting the Far North, which actually saw a 2.7 percent gain in its median home price. This region, along with parts of Southern California and the Central Coast, were the only major regions to record year-over-year increases.

My Perspective: A Market Authenticating Itself

From my years working in real estate in California, I've learned that the market rarely behaves uniformly across such a vast and diverse state. What the C.A.R. November report shows, with over half the counties experiencing price declines, is less of a “roaring back” and more of a market reality check.

The overall sales increase is indeed encouraging, suggesting renewed buyer activity. However, price appreciation is not a given in every single market. This is actually a sign of a healthier, more realistic market. The era of automatically expected price hikes everywhere has likely cooled. Instead, we're seeing value emerge in areas that offer better affordability or where demand is genuinely strong and sustained, not just a broad, state-wide surge.

The fact that 24 counties are showing annual price declines means that buyers have more negotiation power in those specific local markets. For sellers in these areas, it's essential to be realistic about pricing. The days of listing a home and expecting multiple offers significantly above asking might be over for them. Instead, a well-priced, well-presented home in a desirable location is still key, but the “easy money” of rapid appreciation has tempered.

What Does This Mean for You?

• For Buyers: If you're looking in one of the 24 counties experiencing price drops, this could be a prime opportunity. You might be able to find a home for less than you would have a year ago, especially if you're patient and do your homework on local market conditions. However, remember that sales are still up statewide, so desirable properties in appreciating markets may still move quickly.
• For Sellers: Understand your specific local market. If you're in a county with declining prices, be prepared for a potentially longer selling process and price your home competitively from day one. If you're in an appreciating market, you're in a stronger position, but still need to be strategic.
• For Investors: This data suggests opportunities for strategic investment. Areas with declining prices might represent a chance to buy at a lower entry point, with the potential for future appreciation as the market continues to balance out.

Looking Ahead

While the statewide sales figures paint a picture of recovery, the price declines in nearly half of California's counties suggest that the market's “roar” is far from uniform. It's a testament to the diverse economic realities within California, where local conditions often dictate the real estate experience. As we move forward, paying close attention to county-level data will be more critical than ever for anyone involved in the California housing market.

It's always fascinating to dive into the specifics of California's housing market, and the latest numbers are painting a really interesting picture. While we often talk about the state as a whole, a closer look reveals that a significant number of counties—specifically 16 of the 53 tracked by C.A.R.—have actually seen double-digit sales gains in November. This isn't just a general uptick; these are strong, localized surges that suggest pockets of serious real estate activity across the Golden State.

The CALIFORNIA ASSOCIATION OF REALTORS® (C.A.R.) data for November shows that while statewide sales reached a three-year high, these individual county performances are a really exciting story in themselves. It highlights that the California housing market isn't a single entity but a collection of dynamic local economies, each with its own momentum. For anyone looking to understand where the real energy is, focusing on these high-growth counties is key.

16 Counties in the California Housing Market Post Double-Digit Sales Gains

Key Takeaways:

• Significant Growth Pockets: 16 California counties experienced double-digit sales gains in November, outpacing statewide averages.
• Top Performers: Counties like Trinity, Imperial, and Mendocino saw remarkable surges in home sales.
• Price vs. Volume: Sales growth doesn't always equate to immediate price hikes; affordability can be a key driver in some booming markets, while others see both sales and prices rise.
• Local Drivers: Factors like affordability, job growth, and quality of life are crucial for understanding county-level market performance.
• Market Diversity: The California housing market is highly varied, with distinct trends in different regions and counties.

The Power of Double-Digit Growth: What It Means

When we talk about “double-digit sales gains” in real estate, we're talking about a substantial increase in the number of homes sold compared to the previous year. For these 16 counties, this means there was likely increased buyer interest, more homes moving off the market, and a general buzz of activity that stands out even in a generally improving statewide market.

In November, the overall California housing market saw existing, single-family home sales reach 287,940 on a seasonally adjusted annualized rate. This was up 2.6 percent from November 2024. However, within that state figure, these 16 counties were performing significantly better. For context, C.A.R. reported that more than half of the counties showing year-over-year sales improvements (25 in total) recorded double-digit increases. This is a powerful indicator of localized economic health and buyer demand.

Where Are These Hotspots?

The report highlights some remarkable performances. While the data often focuses on broader regions, drilling down to the county level showcases the true vibrancy in certain areas.

For instance, the Far North region, which saw a 2.0 percent overall sales gain year-over-year, contained some of the standout performers. Trinity County was a star, leading the gains with a staggering 60.0 percent surge in sales! Imperial County wasn't far behind with a 46.7 percent increase, and Mendocino County also posted a strong 43.3 percent gain. These aren't small numbers; they represent a significant acceleration in home transactions.

Other counties showing impressive year-over-year sales growth include:

• Glenn: 30.0 percent
• Kings: 38.6 percent
• Yuba: 34.0 percent
• Plumas: 31.8 percent
• Yolo: 4.2 percent (While not double-digit, it's a positive indicator in a region that can be competitive)
• San Joaquin: 3.5 percent (Likewise, showing positive movement)

It's also worth noting that even in regions that saw slight year-over-year declines in overall sales—like Southern California (-3.1 percent)— individual counties within those regions could be thriving. For example, Imperial County, geographically part of Southern California, is listed with a huge sales jump. This emphasizes the importance of looking beyond broad regional trends.

Price Performance in High-Growth Areas

While sales volume is one metric, it's also crucial to look at how prices are behaving in these high-growth counties. Sometimes, a surge in sales can lead to rapid price appreciation, while other times, increased inventory or specific market dynamics might keep prices more stable.

In November, the statewide median home price was virtually flat year-over-year at $852,680. However, looking at the counties with strong sales growth, we see a mixed picture:

• Trinity County: Saw a year-over-year price decline of 10.3 percent, despite its massive sales surge. This suggests that increased affordability may be driving the sales growth, rather than a spike in demand pushing prices up dramatically.
• Imperial County: Experienced a significant 11.6 percent price increase alongside its sales surge. This indicates a market where demand is strong enough to drive both volume and prices upward.
• Mendocino County: Saw a modest 1.5 percent price increase.
• Glenn County: Posted a 3.1 percent price increase.
• Kings County: Saw a slight 0.7 percent price decrease.
• Yuba County: Showed a positive 4.7 percent price increase.

This divergence in price performance is fascinating. It tells us that a sales surge isn't always tied to an immediate and dramatic price hike. Factors like affordability, inventory levels, and local economic drivers play a huge role in how sales volume translates into price changes. In some of these high-growth areas, increased sales might be driven by more accessible price points, allowing more buyers to enter the market.

What's Driving These County-Level Booms?

So, what's happening in these 16 counties that's leading to such impressive sales figures? It's rarely one single reason, but here are some factors I consider:

• Affordability: Often, counties that are not the most expensive in the state offer a more attractive entry point for buyers priced out of major metropolitan areas. This can be especially true for first-time homebuyers or those looking for more value.
• Job Growth and Economic Development: Localized job growth, new industries moving in, or expansion of existing businesses can significantly boost demand for housing.
• Quality of Life: For some, especially with the continued trend of remote or hybrid work, counties offering a more relaxed lifestyle, access to nature, or a strong sense of community can become highly desirable.
• Investment Opportunities: Some areas might be attracting investors who see potential for growth or rental income.
• Interest Rate Sensitivity: As mortgage rates fluctuate, more affordable markets can become particularly sensitive to even small drops, leading to a surge in buyer activity.

My Perspective: Local Nuances Matter

Having worked in real estate for some time, I've learned that the California market is best understood by looking at the micro-level. The statewide data gives us a broad picture, but the real stories are in the counties. These 16 counties with double-digit sales gains are telling us where the active demand is right now.

It’s important for buyers and sellers to recognize these localized strengths. If you're in one of these booming counties, it might mean more competition as a buyer or a stronger negotiating position as a seller. Conversely, if you're in a county that saw sales decline, understanding why is key—is it high prices, limited inventory, or a weaker local economy?

The C.A.R. data for November provides a fantastic snapshot. It shows that the California housing market is not just recovering; it's showing vibrant pockets of growth. These double-digit sales increases in 16 counties are a powerful testament to the diverse and dynamic nature of real estate across our state.

It's hard to ignore the buzz right now: the California housing market is showing some serious strength, with November sales hitting a three-year high. This doesn't just mean more houses are changing hands; it signals a real shift, a comeback that's got both buyers and sellers feeling a bit more hopeful.

The numbers from the CALIFORNIA ASSOCIATION OF REALTORS® (C.A.R.) are pretty clear. In November, we saw 287,940 existing, single-family homes sold on a seasonally adjusted annualized rate. That's not just a small bump; it's a solid increase of 1.9 percent from October and a noticeable 2.6 percent jump from the same time last year, November 2024. Honestly, looking at this data, it feels like we're seeing a market regain its footing after a period of uncertainty.

California Housing Market Revives With Strongest Sales in 3 Years

Key Takeaways from C.A.R.'s Report:

• Sales Volume: November saw the highest existing, single-family home sales in over three years.
• Median Price: Prices remain largely stable year-over-year, with some regional variations.
• Mortgage Rates: A slight decline in rates is likely aiding buyer affordability.
• Inventory: While inventory is up, the growth momentum is easing, preventing an oversupply.
• Regional Differences: The California market is not uniform; significant variations exist by region and county.
• Outlook: Expect mild to moderate growth in sales and prices over the next year.

November Sales Surge: A Deeper Dive

Let's break down what this surge really means. For the third month in a row, sales have been climbing compared to both the previous month and the previous year. This consistency is crucial. It tells us this isn't a fluke; it's a developing trend. The 287,940 homes sold in November is the highest figure since September 2022. That's a significant milestone, showing we've finally moved past some of the tougher market conditions we've experienced.

You might be wondering about the other side of the coin: prices. While sales are up, the statewide median home price in November was $852,680. This is down 3.9 percent from October's $886,960, a dip that's a bit steeper than the usual seasonal drop. However, when you compare it to November 2024's median price of $852,880, it's essentially flat. This tells me the market isn't in a price freefall; it's finding a more stable equilibrium. Buyers are getting deals, but sellers aren't being forced to drastically slash prices.

Year-to-date, home sales are up 0.9 percent. This cumulative figure is important because it shows the market's overall health throughout the year. Even though we've seen ups and downs, the year as a whole has been positive for sales volume.

What's Driving This Momentum?

It's easy to look at the numbers and say, “Okay, sales are up.” But what's really behind this renewed activity? As someone who's seen many market cycles, I believe it's a combination of factors.

Firstly, mortgage rates. While they've been a bit volatile, the average 30-year fixed-mortgage rate in November was 6.24 percent, down from 6.81 percent a year ago. Even a half-percent drop can significantly impact a buyer's purchasing power, making monthly payments more affordable and enticing more people to enter the market.

Secondly, pent-up demand. For a while, many potential buyers were on the sidelines, waiting for interest rates to stabilize or prices to drop. Now, with a bit more predictability and a slight easing of rates, those buyers are starting to make their move. I've been speaking with many clients who were patiently waiting, and they are now actively searching because they see an opportunity.

Thirdly, inventory. While not booming, housing inventory has been on the rise. In November, the Unsold Inventory Index was 3.6 months, up from 3.2 months in October and 3.3 months in November 2024. More homes on the market mean more choices for buyers, which can also contribute to increased sales. However, the annual gain in inventory was the smallest since February 2024, suggesting that while supply is up, the momentum on the supply side is gradually easing. This is important because it means the market might not be flooded with homes, preventing a significant price crash.

Regional Variations: California Isn't One Size Fits All

It's crucial to remember that California is a massive and diverse state. What's happening in one region might be quite different from another.

• Far North: This region actually saw a 2.0 percent increase in sales year-over-year. It's interesting to see this area leading the pack in sales growth when other major regions experienced declines.
• San Francisco Bay Area: This region saw a 3.5 percent decline in sales year-over-year. The median home price also experienced the largest annual drop at 3.2 percent. While prices in the Bay Area are still sky-high, this data suggests a cooling down.
• Central Valley: This area experienced a 3.1 percent drop in sales year-over-year, and its median home price was down 1.0 percent.
• Southern California: This large region saw a 3.1 percent decline in sales year-over-year, though its median home price saw a slight 1.2 percent increase.

Looking at individual counties offers even more granularity. For example, Trinity County saw a remarkable 60.0 percent surge in sales, while Imperial County was up 46.7 percent. On the flip side, Amador County saw sales drop by 44.9 percent. This highlights the need to look at specific local markets rather than making broad generalizations about the entire state.

Price Trends: Stability Over Volatility

As I mentioned, prices have been relatively stable year-over-year. The statewide median price in November was virtually unchanged from November 2024. This is a good sign for market stability. It indicates that while buyers are taking advantage of opportunities, sellers aren't being forced to accept drastically lower prices.

However, there are regional differences. The Far North saw a 2.7 percent increase in its median home price, while Southern California saw a 1.2 percent increase. The Central Coast also saw a slight uptick of 0.2 percent. Meanwhile, the San Francisco Bay Area saw its median price decline by 3.2 percent.

Even within regions, county-level data shows significant swings. Del Norte County saw a 24.4 percent price increase, while Lassen County saw a dramatic 26.6 percent drop. This underscores the importance of understanding local market dynamics.

Days on Market: A Slight Slowdown

The median number of days it took to sell a California single-family home in November was 32 days. This is up from 26 days in November 2024. This increase suggests that while demand is up, homes are taking a little longer to find buyers. This could be due to a few factors:

• Increased Inventory: More homes available mean buyers have more options and aren't as rushed.
• Slightly Higher Prices: Even though prices are stable year-over-year, they are still at a level where some buyers need more time to qualify or adjust their budgets.
• Seasonal Factors: As we move into the holiday season, the pace of sales often slows down naturally.

The Unsold Inventory Index at 3.6 months in November is up from 3.2 months in October and 3.3 months in November 2024. This indicates a slight increase in homes available, which can contribute to longer market times.

The Expert Outlook: What's Next?

What does the future hold? C.A.R. Senior Vice President and Chief Economist Jordan Levine offers a measured perspective. He anticipates that mortgage rates will continue to decline in 2026, but the decrease is unlikely to be dramatic. He also points to the Federal Reserve's cautious approach to rate cuts and signs of economic slowing.

Therefore, the projection for California home sales and prices over the next 12 months is for mild to moderate growth. This means we can likely expect the market to continue its upward trend, but without the explosive growth or sharp declines of past cycles. This kind of steady growth is often what's best for long-term market health.

Personal Take: A Market of Resilience

From my own experiences in the field, I can say that the California housing market is incredibly resilient. We've weathered economic storms, interest rate hikes, and periods of uncertainty. What's happening now, this resurgence in sales, feels like a testament to that resilience.

It's not a runaway market, and I don't see signs of a bubble. Instead, it's a maturing market where qualified buyers are able to find homes, and sellers are getting fair prices. The slight increase in days on market and the stable median prices are actually healthy indicators. They suggest a market that's finding a sustainable balance, rather than overheating.

For buyers, this means patience and preparation are still key. While sales are up, affordability remains a challenge in many areas. Having your finances in order and being ready to act when the right home appears is crucial.

For sellers, this is a good time to list, but be realistic about pricing. The market is strong, but buyers are discerning. Understanding your local market and working with a knowledgeable agent will be vital.

The California housing market is indeed roaring back, not with a deafening shout, but with a strong, steady hum. It's a sign of confidence returning, of people finding ways to navigate the current economic climate and invest in their futures. It’s an exciting time to be involved in real estate here, and I'm looking forward to seeing how this momentum continues.

If you're thinking about buying or selling a home in the Golden State, you're probably wondering what the current California housing market is up to. Well, here's the good news upfront: home sales in California are showing some healthy momentum. In fact, October saw the highest number of sales since February, according to a recent report from the CALIFORNIA ASSOCIATION OF REALTORS® (C.A.R.). This tells us that despite any ups and downs, people are still actively engaged in buying and selling homes across the state.

For months, we've seen a lot of chatter about rates going up, economic uncertainty, and what that means for affordability. But the October data paints a picture of a market that's finding its footing, with demand showing resilience. The California housing market is complex, a bit like trying to surf on a busy day – there are waves to catch, moments of chop, and periods of smooth sailing.

California Housing Market Roars as 16 Counties Post Major Sales Growth

The October Numbers: A Closer Look at Sales and Prices

Let's dive a bit deeper into what C.A.R.'s report revealed for October 2025. It reported that existing, single-family home sales reached a seasonally adjusted annualized rate of 282,590. Now, what does that really mean? Think of it as a projection: if sales continued at the pace they did in October for the entire year, this is how many homes would be sold. This figure was a 1.9 percent increase from September's sales and a notable 4.1 percent jump compared to October of the previous year. What’s more, year-to-date sales were up by 0.8 percent, showing a steady, albeit modest, upward trend over the year.

Sales Data Snapshot (October 2025):

• Total Sales: 282,590 (seasonally adjusted annualized rate)
• Month-over-Month Change: +1.9%
• Year-over-Year Change: +4.1%
• Year-to-Date Change: +0.8%

This increase in sales is encouraging because it broke a streak of 37 consecutive months where statewide sales were below the 300,000-unit benchmark. Seeing that number climb, even slightly, suggests that more buyers are finding their way into the market and successfully closing deals.

Now, let's talk about the price tag. The statewide median home price in October was $886,960. This was a very slight uptick of 0.4 percent from September's median price of $883,640. However, year-over-year, the median price saw a small decrease of 0.2 percent, coming in just below October 2024's median of $888,740.

This stabilization in prices, even with a slight dip from last year, is something I watch closely. It means that while homes aren't suddenly becoming drastically cheaper, the rapid price escalations we've seen in the past might be easing. This can create a more balanced environment, giving buyers a bit more breathing room and sellers a realistic expectation of what their home might fetch.

Regional Variations: Where the Action Is

One of the things I love – and sometimes find challenging – about California is its sheer diversity. The same can be said for its housing market. What’s happening in Northern California might be quite different from Southern California, and even within regions, there are significant differences county by county.

C.A.R.'s report highlighted these regional dynamics:

• Southern California: Steady Growth. This powerhouse region saw a solid 5.6 percent increase in home sales compared to the previous year. The median home price also nudged up by 1.1 percent. This suggests continued strong demand and a robust market in areas like Los Angeles, Orange County, and the Inland Empire.
• San Francisco Bay Area: A Mixed Bag. The Bay Area experienced a more modest 2.5 percent rise in sales, but its median home price dipped by 1.1 percent year-over-year. The report notes that inventory in the Bay Area is quite tight, with an Unsold Inventory Index of just 2.2 months, indicating a seller's market. Counties like San Francisco and San Mateo saw significant price gains year-over-year, while others like Marin saw slight dips.
• The Central Valley: Resilience and Opportunity. This region saw a 4.0 percent sales increase. Home prices here are generally more affordable than coastal areas, making it an attractive option for many. While the median price saw a slight dip of 0.2 percent, sales grew. Counties like Kings saw remarkable sales growth, up 52.9 percent year-over-year.
• The Far North: Leading the Pack. This often-overlooked region had the most impressive sales growth, jumping an astonishing 18 percent year-over-year. This suggests renewed interest and activity in these more rural and scenic parts of the state.
• Central Coast: Shifting Dynamics. This region saw a slight dip in sales (-1.5 percent) but experienced a significant 7.9 percent increase in median home prices. This could indicate that while fewer homes are changing hands, those that are, are doing so at higher prices, possibly due to limited inventory and high demand in desirable coastal towns.

Table: Regional Performance Snapshot (Year-over-Year Sales & Price Changes)

Region	October 2025 Median Price	Price Change (YTY)	Sales Change (YTY)
California	$886,960	-0.2%	+4.1%
Southern California	$874,240	+1.1%	+5.6%
San Francisco Bay Area	$1,300,000	-1.1%	+2.5%
Central Valley	$499,000	-0.2%	+4.0%
Far North	$375,000	-3.8%	+18.0%
Central Coast	$1,068,000	+7.9%	-1.5%
Inland Empire	$599,520	+0.1%	+6.4%

It's crucial to remember that these are statewide and regional averages. County-level data showed even more dramatic swings, with places like Trinity County seeing an astonishing 85.7 percent increase in sales year-over-year, while others experienced declines. This highlights why working with a local real estate professional who understands your specific area is so important.

Inventory and Days on Market: A Seller's or Buyer's Market?

The balance between the number of homes available (inventory) and the number of buyers looking is what often dictates whether we're in a seller's or buyer's market. C.A.R. tracks the Unsold Inventory Index (UII), which tells us how many months it would take to sell all the available homes if sales continued at their current pace.

In October, the UII for existing single-family homes was 3.2 months. This is down from 3.6 months in September but essentially unchanged from 3.1 months in October of the previous year. A healthy, balanced market is generally considered to be around 4-6 months of supply. So, with 3.2 months, the California housing market still leans towards a seller's advantage, especially in high-demand areas.

What this means in practical terms is that homes are still selling relatively quickly, though not as fast as they have in previous years. The median number of days it took to sell a home in October was 32 days, up from 25 days in October 2024. This slight increase in time on the market suggests that buyers have a little more time to make decisions, and perhaps fewer bidding wars. However, in some of California's most sought-after regions, like the San Francisco Bay Area, homes are still flying off the shelves, with median days on market often in the teens.

For sellers, this means that while the market might not be as frenzied as it was a year or two ago, a well-priced and well-presented home can still attract multiple offers. For buyers, it emphasizes the need to be prepared and act decisively when a property that meets their needs comes on the market.

The Influence of Mortgage Rates

No discussion about the California housing market is complete without talking about mortgage rates. These are the gatekeepers for many potential buyers. C.A.R. reported that the average 30-year, fixed-mortgage interest rate in October was 6.25 percent, down from 6.43 percent in October 2024.

Now, rates have certainly been a hot topic. While this figure shows a slight decrease year-over-year, market watchers like C.A.R.'s Chief Economist Jordan Levine noted that rates had “resumed an upward trajectory” in late October. This volatility can create uncertainty.

• Mortgage rates dipping can bring more buyers into the market, as it reduces monthly payments and improves affordability.
• Mortgage rates rising can sideline some buyers, making them pause their search until rates decrease or their financial situation improves.

The interplay between mortgage rates, housing prices, and income is what ultimately determines affordability. Even with a slight softening in price growth, if mortgage rates climb significantly, affordability can still be a major hurdle. Conversely, if rates were to drop considerably, we might see even more demand and a faster pace of sales.

My Take: What the Data Tells Me

From my perspective, the October report from C.A.R. is a sign of a maturing real estate market. We're moving away from the extreme frenzy of the pandemic-driven boom and settling into a more sustainable rhythm.

Here's what I see:

1. Resilient Demand: Buyers are still actively participating. The increase in sales shows that Californians are committed to homeownership, adapting to current conditions.
2. Price Stabilization: The era of rapid, double-digit price appreciation may be on pause. This is a good thing for long-term market health and provides more predictable conditions for both buyers and sellers. Prices are still high, of course, but the rate of growth has slowed to a more manageable pace.
3. Regional Nuance is Key: You absolutely cannot treat California as a monolith. The data clearly shows that different areas are experiencing different market dynamics due to local economies, job markets, and housing supply.
4. Inventory is Tight, but Slowly Growing: While still a seller-leaning market overall, the fact that active listings have been growing (even if at a decelerating pace) is a positive sign for buyers. It means more options are becoming available, which can help ease competition.
5. Economic Factors Still Matter: Mortgage rates, inflation, and broader economic confidence will continue to play a significant role. A government shutdown, as mentioned in the report, can even ripple into and affect market sentiment and rates.

Looking Ahead: What to Expect in the Near Future

As we head further into the holiday season and look towards 2026, C.A.R. President Tamara Suminski believes the trends point to a “promising moment for anyone considering a move.” I generally agree.

We're likely to continue seeing sales hover around the levels reported in October, with the typical seasonal slowdown impacting the market during the winter months. However, the underlying demand remains strong.

• For Buyers: Be prepared, know your budget, get pre-approved for a mortgage, and work with a knowledgeable agent. You might have slightly more negotiating power than a year ago, but good homes in desirable areas will still move quickly.
• For Sellers: Pricing your home accurately from the start is critical. Showcase its best features, and understand that while bidding wars might be less common, a well-marketed home will still attract serious buyers.

The California housing market is always evolving. It’s a market that requires patience, research, and expert guidance. The latest data suggests a market that's finding its balance – not red-hot, but definitely not cooling off entirely. It's a market where careful planning and strategic moves can lead to success for both those looking to buy and those looking to sell.

The California housing market made a noticeable comeback in September, with home sales picking up momentum both from the previous month and from the year before. Infact, 40 out of 53 counties posted explosive annual sales growth, signaling widespread recovery. This rebound is a welcome sign for many, suggesting a stabilization after a period of uncertainty. The California housing market rebounds in September with a promising uptick in activity.

California Housing Market Rebounds With Sales Growth in 40+ Counties

As a real estate professional who's seen my share of market ups and downs, I can tell you that September felt different. There was a tangible shift in the air, a sense that potential buyers, who might have been sitting on the sidelines, were starting to feel more comfortable making a move. This isn't just about numbers; it's about the feeling of renewed confidence that permeates the market.

The CALIFORNIA ASSOCIATION OF REALTORS® (C.A.R.) reported that existing, single-family home sales reached a seasonally adjusted annualized rate of 277,410 in September. This is a solid 5 percent increase from August's 264,240 sales and a healthy 6.6 percent jump from September 2024's 260,340 sales. It's the highest sales level we've seen in about seven months, which is a great indicator of renewed activity.

Understanding the September Sales Surge

What's driving this comeback? A few things are coming into play. One significant factor is the slight easing of mortgage interest rates. While they haven't dropped dramatically, they’ve hovered in a more manageable range, making homeownership feel more attainable for a broader group of buyers. As Heather Ozur, a REALTOR® from Palm Springs, noted, “Even though rates have inched up a bit, they’re still in the low 6% range, which should help keep the market steady through the end of the year.” This has been crucial.

Also, after a relatively quiet summer, September often sees a natural increase in activity as families settle back into routines and a sense of urgency to buy before the holidays kicks in. However, this year, it feels like more than just seasonal timing; it's a genuine rekindling of interest.

The Price Picture: Modest Growth Amidst the Rebound

While sales are up, the median home price in California also saw a modest increase, though it dipped slightly compared to August. In September, the statewide median home price stood at $883,640. This is down 1.7 percent from August's $899,130. This monthly dip is pretty typical for this time of year, as the market often cools slightly after the summer.

However, looking at the year-over-year picture is where we see the positive trend. That $883,640 median price is 1.8 percent higher than the $868,150 recorded in September 2024. This marks the second consecutive month where prices have shown year-over-year gains, a sign of underlying strength.

From my perspective, this stabilization in prices is a good thing. It suggests that the market isn't overheating, nor is it in a freefall. It's finding a more balanced ground, which is ultimately healthier for long-term stability.

Jordan Levine, C.A.R. Senior Vice President and Chief Economist, offered some valuable insight here: “The housing market showed modest improvement in September, with both sales and prices up from a year ago. Steady mortgage rates may give demand a small boost heading into the fourth quarter, but broader economic uncertainty—like the ongoing government shutdown and renewed U.S.-China trade tensions—will likely keep the recovery gradual.” This highlights the delicate balance of factors at play.

Regional Variations: Where the Action Is

California is a state of diverse real estate markets, and September's rebound was felt differently across its regions. It's always exciting to see these variations because they tell a more nuanced story.

Looking at year-over-year sales on a non-seasonally adjusted basis, all of California's major regions saw growth. The stars of the show were:

• Central Coast: A remarkable 11.8 percent increase in sales.
• Southern California: A strong 11.3 percent increase.
• Central Valley: A solid 10.2 percent increase.

Even the San Francisco Bay Area (9.8 percent) and the Far North (8 percent) posted healthy gains, showing that the momentum wasn't confined to just one part of the state.

This regional strength is a testament to the diverse economic drivers within California. The Central Coast, for instance, often attracts buyers looking for lifestyle and vacation properties, while the Central Valley offers more affordable entry points. Southern California, a massive and diverse market, always has its own unique pulse.

At the county level, the numbers are even more striking. 40 out of 53 tracked counties saw year-over-year sales gains.

• Kings County led the pack with an impressive 46.3 percent increase.
• Calaveras County followed closely with 42 percent growth.
• Santa Cruz County also saw a significant jump of 37.9 percent.

It's also important to note where sales declined. Trinity County saw a substantial drop of 50 percent, and San Benito County fell by 23.9 percent. These outliers often point to specific local economic factors or inventory issues that are worth digging into.

Home Price Trends Across California: A Mixed Bag

When it comes to prices, most regions saw year-over-year appreciation:

• Far North: Up 2.9 percent.
• San Francisco Bay Area: Up 2.7 percent.
• Southern California: Up 2.3 percent.
• Central Coast: Up 1.2 percent.

The Central Valley was the only major region to experience a slight annual price dip, down 0.2 percent.

On the county level, the price story is also varied. Mono County saw a massive 53.4 percent increase in its median price, which can sometimes be attributed to very few high-value sales skewing the median. Other notable price gains came from Mariposa County (51.6 percent) and Del Norte County (23 percent).

Conversely, some counties saw price declines. Trinity County experienced the largest drop at 15.2 percent, with Calaveras and San Benito counties also seeing significant decreases. These figures highlight that while the statewide California housing market rebounds in September, local conditions can create very different realities.

Housing Inventory and Time on Market: A Buyers' Market Still?

One of the key metrics I always watch is the Unsold Inventory Index (UII). This tells us how many months it would take to sell all the homes currently on the market if sales continued at the September pace. In September, the UII was 3.6 months, which is a slight dip from August (3.9 months) and unchanged from September 2024.

What does this mean? Generally, a UII below 4 months indicates a seller's market, where demand outstrips supply. However, the fact that active listings have been rising for 20 consecutive months, even though the growth rate is slowing, suggests that while inventory is tight, it's not overwhelmingly restrictive for buyers.

“September marked the fifth straight month of slowing inventory growth, indicating that while supply conditions still favor buyers, momentum on the supply side is easing as the market follows its typical seasonal slowdown in the fourth quarter,” C.A.R. noted. This is a crucial point: the market is shifting, but it hasn't fully tipped into a seller's definitive advantage yet.

The time it takes to sell a home also provides insight. In September, it took an average of 32 days to sell a single-family home. This is up from 24 days in September 2024. This increase in days on market, coupled with steady inventory growth, suggests buyers have a bit more breathing room than they did a year ago. They have more time to consider their options and negotiate.

The sales-price-to-list-price ratio was 98.2 percent in September 2025, down from 100 percent in September 2024. This means that, on average, homes are selling slightly below their asking price, which is another indicator that buyers have some negotiation power.

What's Next for the California Housing Market?

The September data paints a picture of cautious optimism. The California housing market rebounds in September with sales and modest price appreciation, but there are still headwinds. Economic uncertainty, as mentioned by Jordan Levine, remains a significant factor. Geopolitical tensions and domestic policy issues can always cast a shadow over consumer confidence and, by extension, the housing market.

Mortgage rates, while currently in a better range, are always subject to change based on Federal Reserve policy and broader economic performance. A sharp uptick in rates could easily cool the nascent recovery we're seeing.

However, on the positive side, the underlying demand for housing in California remains strong. The state's population continues to grow, and the desirability of its lifestyle and economic opportunities persists. As more buyers feel confident about their financial future and the stability of interest rates, we can expect continued, albeit gradual, growth.

From my experience, the key for buyers right now is to be prepared. Have your financing in order, understand your local market dynamics, and be ready to act when the right opportunity arises. For sellers, understanding that while the market is improving, it’s not the frenzied seller’s market of a couple of years ago, is crucial. Pricing your home competitively and presenting it well will be key to a successful sale.

The September rebound is a positive step. It shows the resilience of the Californian homeowner and the inherent strength of its real estate market. While we should always be mindful of the broader economic context, this September's performance offers a hopeful glimpse into the latter part of the year and beyond.

The California housing market rebounds in September, and while the statewide numbers are encouraging, the real excitement is unfolding at the county level. I've spent years navigating these diverse markets, and what I saw in September tells a story of robust recovery, with incredible growth bubbling up from various corners of the state.

Home Sales Surge in 40 Counties in the California Housing Market

The CALIFORNIA ASSOCIATION OF REALTORS® (C.A.R.) report painted a clear picture: 40 out of the 53 counties tracked experienced year-over-year sales gains. But it’s not just about modest increases; a significant chunk of these, more than half (25 counties to be exact), saw double-digit growth. This isn't just a rebound; it's a powerful surge in many areas, showing that the desire for California homes is alive and well, even if it's manifesting differently in each locale.

The Unsung Heroes: Counties Leading the Charge

When we talk about the California housing market rebounds in September, we need to give a shout-out to the counties that are truly leading the charge. These are the places where the market is performing exceptionally well, showcasing strong buyer interest and seller activity.

Leading the pack, and frankly, causing quite a stir, is Kings County. Imagine this: a 46.3 percent increase in year-over-year sales! That's a phenomenal leap, far outpacing the state average and highlighting a region that's clearly hit a sweet spot for buyers.

Hot on its heels is Calaveras County, which recorded an impressive 42 percent jump in sales. This is another gem in the Sierra Nevada foothills, proving that attractive locations and perhaps more accessible price points can drive significant market momentum.

And let's not forget Santa Cruz County. With a 37.9 percent increase in sales, this coastal beauty is showing that even in high-demand, picturesque areas, buyers are finding their way to the market and making deals.

These are just the top three, but the fact that 25 counties achieved double-digit growth tells us this isn't an isolated phenomenon. This broad-based strength is what makes this September rebound so compelling. It suggests a fundamental demand for California living, being met by a willingness to transact across a wide spectrum of communities.

A Deeper Dive: What's Driving This County-Level Excitement?

From my experience, this type of widespread, strong growth in specific counties often points to a few key factors.

• Affordability and Value: While California is known for its high prices, many of these leading counties likely offer comparatively better value. Kings County, for example, with its agricultural roots and more suburban feel, can provide more home for the money compared to bustling metro areas. Buyers squeezed out of more expensive regions are likely looking to these areas for their first step onto the property ladder or for a more spacious home.
• Lifestyle Appeal: Counties like Santa Cruz offer a unique blend of coastal living, access to nature, and a vibrant community. For many, the allure of this lifestyle, combined with a market that's moving, becomes irresistible.
• Improved Inventory: In some of these high-growth counties, there may have been a release of pent-up inventory. When buyers see more options, and these options are priced attractively, sales naturally follow.
• Remote Work Flexibility: The ongoing trend of remote and hybrid work continues to empower people to choose where they live based on lifestyle and cost rather than strict commute requirements. Counties that offer a desirable lifestyle away from major urban centers are prime beneficiaries.

The Other Side of the Coin: Counties Facing Challenges

It's always important to remember that the real estate market is never uniform. While many counties are thriving, some are still navigating choppy waters. The C.A.R. report also highlights ten counties that experienced annual sales declines in September. Among these, six saw drops of more than 10 percent.

• Trinity County faced a particularly steep decline, with sales dropping by a significant 50 percent. This type of sharp decrease often points to very specific local economic conditions, a lack of desirable inventory, or perhaps a market that was overvalued previously and is now recalibrating.
• San Benito County saw a reduction of 23.9 percent in sales.
• Mono County, known for its stunning natural beauty and proximity to popular tourist destinations, experienced a 22.2 percent decrease in sales.

The Median Sale Price and Sales table from C.A.R. shows some interesting dynamics within these slower markets. For instance, Mono County had a very sharp 53.4% increase in median price, which, when combined with a sales decline, could indicate that a few very high-priced sales might have skewed the median, or that inventory has shifted towards higher-end properties, making it harder to move units. Conversely, Trinity County showed a 15.2% median price decrease.

Understanding these disparities is key. It’s not just about the statewide numbers; it’s about being aware of the granular details that impact specific communities.

What Does This County-Level Data Mean for You?

For anyone involved in the California housing market, this breakout of county-level data offers invaluable insights:

• For Buyers: If you're looking for opportunities, focus on the counties experiencing strong sales growth. These areas often have energetic markets where well-priced homes sell quickly, but they also indicate demand. Research the specific drivers behind the growth in counties like Kings, Calaveras, and Santa Cruz. Conversely, if you're looking for negotiation power, you might find it in counties still experiencing sales declines, but be sure to understand the reasons behind it.
• For Sellers: If you're in one of the booming counties, you're likely in a strong position. However, don't get complacent! The increased time on market (32 days statewide, up from 24 last September) means that quality and competitive pricing are still vital. If you're in a county with slower sales, it’s even more critical to price your home strategically and present it impeccably.
• For Investors: The high growth rates in certain counties present compelling opportunities for investors looking for appreciation and rental income potential. The median price per square foot is another metric to watch closely here. While the statewide median price per square foot was $427 in September (up slightly from $424 a year ago), specific county data will reveal much more localized trends.

The Bigger Picture: A Market Finding Its Footing

While the statewide median price saw a modest 1.8 percent year-over-year gain to $883,640, it's the county-level data that reveals the true dynamism. The fact that sales are climbing so significantly in 40 counties indicates a broad return of buyer confidence and a willingness to engage in the market.

This isn't a uniform recovery, but rather a series of localized successes. The California housing market rebounds in September with energy that's clearly palpable in many communities. As a seasoned observer, I see this as a positive sign. It suggests that the market isn't simply relying on one or two major hubs but is being driven by a more distributed, multifaceted demand across the state.

The key takeaways from September are clear: California's housing market is showing resilience, and its strength is being powered by incredible activity in dozens of its counties. Understanding these local nuances is more critical than ever for making smart real estate decisions.