Snapshot

October 2026

San Diego Real Estate at a Glance

Median Home Price: Approximately $1,000,000
Median List Price: Approximately $835,000
Homes Selling for: Approximately 99.2% of the Original List Price
Active Listings: Approximately 2,500+
Median Days on Market: Approximately 40+ days
Mortgage Rates: Around 7% for a 30-year fixed mortgage

Statistics can vary depending on the reporting period, property type and geographic area. San Diego MLS data is the primary source for our market statistics.

San Diego Real Estate Market: What’s Happening Now?

The San Diego housing market is entering the fall of 2026 with an interesting combination of high home prices, increased inventory and slower sales activity.

The median price remains around the $1 million mark, keeping San Diego among the nation’s most expensive major housing markets. At the same time, buyers have more properties to choose from than they did during the extremely tight markets of recent years.

One statistic stands out: homes that do sell are still generally achieving close to their asking prices. Current market data puts the average sale at approximately 99.2% of the original list price.

That tells us something important about the market. Sellers are no longer able to assume that every property will generate multiple offers immediately, but properties that are priced correctly can still command very strong prices.

Sales Activity Has Slowed

One of the more noticeable developments in the current market is the slowdown in the number of homes actually changing hands.

September data from the Greater San Diego Association of REALTORS® shows a significant month-over-month decline in attached-home sales.

That doesn’t necessarily mean demand has disappeared.

Higher mortgage rates, elevated home prices and affordability pressures are keeping some potential buyers on the sidelines. For sellers, that means the pool of buyers competing for a particular property can be smaller than it was during the strongest years of the market.

More Inventory Is Changing the Market

Inventory is another important part of the current story.

More homes are available for sale, giving buyers more choices and making it easier to compare properties.

This is particularly important because San Diego has such a wide range of housing markets.

A home in Point Loma may have very different activity from a condominium downtown. A property in Clairemont may behave differently from a home in Carmel Valley or Rancho Bernardo.

The citywide statistics give us the big picture, but individual neighborhoods can tell a very different story.

Price Reductions Are Becoming Part of the Story

As inventory increases and buyers become more selective, price reductions are becoming an increasingly important piece of San Diego real estate news.

A property that starts too high can remain on the market while competing homes sell.

That doesn’t mean San Diego has suddenly become a buyer’s market across the board. Instead, the market appears increasingly sensitive to pricing, condition and location.

The difference between a property that sells quickly and one that sits for weeks can sometimes come down to how it was positioned when it first came on the market.

Condos and Townhomes Are Worth Watching

The attached-home market deserves particular attention.

Condos and townhomes make up a significant portion of San Diego’s housing inventory, particularly in coastal communities, Downtown, Mission Valley and other higher-density areas.

SDAR’s current September statistics show a 22.1% month-over-month decrease in attached-home sold listings, making this segment one of the areas worth watching as we move through the fall.

The attached market can also be affected by factors that don’t impact single-family homes in the same way, including HOA dues, insurance costs, building reserves and financing requirements.

Mortgage Rates Remain a Major Story

Mortgage rates continue to be one of the biggest factors influencing San Diego real estate.

With 30-year mortgage rates around the 7% range, financing costs remain considerably higher than they were during the ultra-low-rate period earlier in the decade.

That has created an unusual situation:

Home prices remain high, while borrowing money remains expensive.

The result is a market where many homeowners who locked in very low mortgage rates have little financial incentive to move, while prospective buyers have to weigh today’s mortgage payment against the cost of waiting.

What We’re Watching in San Diego

As we move through the fall, several factors will be worth watching:

Inventory: Will the number of homes available for sale continue to increase?

Sales: Will lower transaction volume continue, or will buyers return if mortgage rates decline?

Prices: Will limited housing supply continue supporting prices?

Price reductions: Are sellers becoming more willing to adjust asking prices?

Mortgage rates: Any significant change in borrowing costs could affect buyer activity.

Condos: The attached-home market is an important segment to watch as inventory and sales activity change.

San Diego Real Estate Is Still Highly Local

Perhaps the most important thing about the San Diego market is that the citywide statistics don’t tell the whole story.

San Diego is a collection of very different real estate markets.

Coastal communities, inland neighborhoods, downtown condominiums, established suburban areas and newer developments can all experience different levels of demand and pricing.

That’s why we’ll continue tracking the market at the local level.

Gratitude Realty San Diego Real Estate News

We’ll be updating our San Diego Real Estate Snapshot regularly with the latest market statistics and developments affecting local real estate.

Check back for updates on home prices, inventory, sales activity, mortgage rates, price reductions and other San Diego real estate news.

Rod Bairos — Broker
Gratitude Realty
619-540-3798

Market statistics are provided for informational purposes. Statistics may vary by source, reporting period, property type and geographic area. San Diego MLS data is used where available.