📈 Prices Take a Summer Breather — But Remain Strong
After five consecutive months of price increases, the national median sale price pulled back slightly in July to $434,100, down 1.96% from June but still 1.97% higher than last year.
Mortgage rates have also moved higher, reaching 6.69% in August after briefly dipping to 6.43% in July. As a result, the affordability gains buyers saw earlier this year have essentially disappeared, with monthly principal and interest payments now roughly back where they were a year ago.
For San Diego, however, the story remains considerably stronger. The median single-family home reached $1.085 million in June, a 5.85% increase from last year and the highest level in the current data series.
🏠 San Diego Inventory Is Tightening
National inventory has started to decline after building throughout the first half of the year. New listings also dropped in July, suggesting that some sellers may be becoming more hesitant as mortgage rates move higher.
San Diego is showing an even clearer shift. Active listings were down 7.08% year-over-year in July, marking the fourth consecutive month of annual inventory declines.
That matters because fewer homes coming to market, combined with steady buyer demand, can put upward pressure on prices.
⏱️ Buyers Are Still Moving Quickly
Nationally, existing home sales are holding relatively steady, but San Diego buyers continue to move with urgency.
The median San Diego home spent 18 days on the market in June, compared with 21 days a year ago. While that's a little slower than May's unusually fast 14-day pace, homes are still selling faster than they were last summer.
For buyers, the takeaway is simple: more time doesn't necessarily mean more opportunity. Well-priced homes can still move quickly.
⚖️ San Diego Has Shifted Back Toward Sellers
The biggest local takeaway may be where San Diego stands on inventory. At 2.7 months of supply, the market has moved back into seller's market territory.
That's down from 3.0 months in May and 25% below the 3.6 months of supply we had a year ago.
So while the broader national market remains closer to a buyer's market, San Diego is telling a different story: prices are rising, inventory is tightening, and homes are still selling relatively quickly.
The next few months will come down to two things: mortgage rates and new listings.
If rates continue climbing and buyers pull back, the market could begin to cool. But if rates stabilize while San Diego's limited inventory continues to shrink, sellers could maintain the upper hand through the rest of the year.
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