2025 San Diego House Price Prediction

George Lorimer
Monday, December 16, 2024
2025 San Diego House Price Prediction
The 2025 housing market is expected to experience modest growth in home prices and stable but elevated mortgage rates, according to forecasts:
 
 
  1. Home Prices:
    • Zillow predicts steady but modest price increases driven by low inventory and resilient demand.
    • Redfin estimates a 4% rise in home prices for 2025, in line with trends observed in 2024. Price growth is expected to be stronger in urban areas as more people return to cities?.
    • Get your free home value here
       
  2. Mortgage Rates:
    • Mortgage rates are projected to remain in the high 6% to 7% range throughout 2025. Economic policies, such as potential tariffs and tax cuts, could influence this stability. If the economy weakens or policies shift, rates could drop slightly?
       
  3. Sales Activity:
    • Redfin forecasts a 2-9% increase in existing home sales, with an annual range of 4.1–4.4 million transactions. Demand is expected to remain strong despite affordability challenges, fueled by limited inventory and pent-up demand?. 
    • See how long it's taking to sell in this market.
       
The California Association of Realtors (CAR) and Realtor.com forecasts echo similar trends, with localized variations depending on supply constraints and climate risks in regions like coastal California. The market is expected to remain competitive, especially in urban hubs.

For more information on your neighborhood or house price, call/text George Lorimer at 619-846-1244.



 

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