San Diego Housing Market: Prices | Trends | Forecasts 2022
Home prices & sales are rising across the Southern California housing market and San Diego is no exception. In Southern California, the median home price has risen by double digits for twelve consecutive months. Homes on the market are selling at a fast pace, often fetching multiple offers well above what the sellers are asking. Homebuyer demand is expected to remain strong in 2022, but it will be tested by increasing mortgage rates.
According to a recent C.A.R. report, the Southern California region remained reasonably strong in October, despite a decline in year-over-year sales growth. The median price was $750,000, up 14% year over year but flat from September's median price. San Diego County exhibits a similar trend. In San Diego County, the median single-family home price increased 13.5 percent year over year to $850,000, while sales fell 8.3 percent.
Inventory is low, prices are rising, and pent-up demand alongside low mortgage rates has the San Diego housing market flooded with homebuyers. The housing demand in San Diego has also been driven by the desire for additional space as people spend more time at home. Housing prices in San Diego County have risen dramatically in 2021 due to lower mortgage rates which allow buyers to put more of their monthly payment towards the principal. The record-low interest rates in 2020-2021 fueled San Diego's high house prices, increasing consumer purchasing power. Since Q3 2021, interest rates began to increase, leveling buying power and reducing homebuyer urgency.
According to the most recent data from Realtor.com, San Diego County is a seller's real estate market. In other words, there are approximately more buyers than active listings.
In October 2021, the median list price of homes in San Diego County was $780K, trending up 12.2% year-over-year.
The median sale price was $760K.
The median listing home price per square foot was $494.
Homes in San Diego County, CA sold for approximately the asking price on average in October 2021.
There are 67 cities in San Diego County.
La Jolla has a median listing home price of $2.4M, making it the most expensive city in San Diego County.
Spring Valley is the most affordable city in San Diego County, with a median listing home price of $650K.
The median listing home price in San Diego City was $820K, trending up 14.7% year-over-year.
There are 100 neighborhoods in San Diego.
East Village is the most affordable neighborhood in San Diego, with a median listing home price of $500K.
Southern California Housing Market Trends 2021 (Most Recent)
Here's how individual counties of Southern California are setting or matching price records as compared to October 2020 (Data released by C.A.R.). San Bernardino County led the pack again with the highest price increase of 21.9% over last year. Still, it is the most affordable with a median price of $445,000 for existing single-family homes. Orange County is the most expensive real estate market in Southern California with a median sales price of $1,120,000. Sales have fallen in all six counties.
In Los Angeles County, the median price rose 13.9% to $848,970 in October, while sales decreased by 7.7%.
In Orange County, the median price rose 20.4% to $1,120,000, while sales decreased by 20.2%.
In Riverside County, the median price rose 19.6% to $580,000, while sales decreased by 18.4%.
In San Bernardino County, the median price rose 21.9% to $445,000, while sales decreased by 10%.
In San Diego County, the median price rose 13.5% to $850,000, while sales decreased by 8.3%.
In Ventura County, the median price rose 10.7% to $830,000, while sales decreased by 8%.
San Diego County median home price has topped the $850K mark. The current median price holds at $850,000, steady from last month but it is a gain of 12.5% over last year, according to C.A.R.'s Oct 2021 resale housing report. The report also shows that existing single-family home sales dropped by -4.9% MTM and -8.3% over last year. San Deigo's condo market also saw a sharp increase in the median price as compared to last year. The condo's median price is $561,000, +18.1% YTY and -0.5% MTM.
Months Supply of existing single-family homes is very tight, currently holding at 1.5 months. It is a good indicator of whether a particular real estate market is favoring buyers or sellers. Typically, a market is considered balanced if it has 4 to 6 months of inventory of homes on hand. A lower number means that buyers are dominating the San Diego housing market and there are relatively few sellers.