California Home Prices are NOT Going Down
- Tristen Campanella
- Apr 14
- 2 min read
What’s Really Happening With Home Prices, Inventory & the Local Real Estate Shift
Hey there! I’m Tristen Campanella, your San Diego real estate guide, and I’m here to break down what actually happened in our housing market last month—and what it means for you if you’re thinking of buying or selling a home.
This month’s big question:Are home prices going down?Let’s take a closer look at the numbers and trends so you can make informed (and aligned) decisions about your next move.
Home Prices in San Diego – Still Rising
Despite uncertainty in the economy and the stock market, home prices in San Diego are still on the rise—though not dramatically. In March 2025, prices increased about 2.9% for detached homes countywide. For condos and attached homes, growth was a more modest 0.7%.
While these increases aren’t massive, they reflect a stable and healthy market—not the crash some are hoping (or waiting) for.
Inventory is (Finally) Up… A Bit
Here’s the good news for buyers: Inventory is increasing. Detached homes saw a 4% increase in inventory, while attached homes jumped 24% in new listings, which is huge for our market.
However, even with that jump, we’re still in a low-inventory environment, especially for single-family homes. This continues to drive demand and maintain pricing.
New Construction is Not the Solution
Many people ask, “Why aren’t more homes being built?”
Unfortunately, new construction is extremely limited in San Diego. With land restrictions, zoning issues, and tight regulations—especially around condos—most developers are choosing to build apartments instead of homes for sale.
Right now, we’re seeing about 4,000 new apartments coming online, but that’s doing little to help the housing inventory for buyers. As a result, rents are staying steady—around $3,900/month for a single-family home and $2,400–$2,500/month for a two-bedroom.
Which Areas Are Seeing the Most Growth?
Here’s a breakdown by region:
Metro/Downtown San Diego: 🔺 Up 9%
East San Diego County: 🔺 Up 0.8%
North County: 🔺 Up 1%
South San Diego County: 🔻 Down 1.8%
If you’re curious about what’s happening in your neighborhood, you can access zip-code-specific data below ⬇️
Should You Wait for Prices to Drop?
This is a question I get all the time—and the honest answer is: Waiting could cost you more.I’ve spoken with so many people over the years who decided to “wait for the crash,” only to be priced out completely later on.
Personally, I almost didn’t buy when I did—and I’m so grateful I did. Our payment is fixed, our home is secure, and we’re not impacted by rising rents or market shifts. There’s power in planning ahead.
If you’re even thinking about buying or selling, now’s the time to start the conversation.
Want to Learn More?
Every month I host free home buying and selling webinars to help you understand the market, your options, and what steps you can take to move forward with confidence and clarity.
