With over four decades of experience in California real estate, I've seen the market's many cycles—and the current data points to a welcome period of steadier growth. Home prices across the state are projected to rise modestly by about 3% to 4% annually through 2028. This means we're moving away from the dramatic price swings of past years and settling into a more predictable pattern. Inventory is also trending upward, with roughly 156,300 active listings now on the market, giving buyers greater choice and reducing the pressure to make snap decisions. However, affordability remains a significant challenge: only about 18% of California households currently qualify for a typical mortgage, down from 31%. As a result, entry-level homes continue to draw strong competition. Most homes are still selling at nearly 100% of their asking price, and 30-year fixed rates are holding steady near 6%, with expectations for that range to continue. In major urban centers like Los Angeles County, it may take until after 2028 to return to earlier sales volumes, but overall, California’s market is settling into a more stable rhythm. Having served on the boards of both the California Association of Realtors and the National Association of Realtors, I’m committed to guiding clients through these evolving conditions with a steady hand and deep market knowledge.
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