The San Diego metro area is considered ‘Warm’ by realtor.com, but only because of the fantastic start we had this year. Our ranking among other metros is plummeting:
Jan: #65
Feb: #72
Mar: #96
Apr: #132
My green arrow above points out how if it weren’t for the hot action in January and February, we would have been on a steady slide.
It looks obvious by now, doesn’t it?
We’re going to muddle through the rest of 2025 and then have a nice pop to start next year. Probably not more than two months of 2026 hotness though, and then back to the muddling as inventory grows faster and higher than it did this year.
I agree 100% with your assessment. The market is at a stalemate right now. Things that could change the current trajectory are a significant decrease in interest rates (like 2-3%) which might happen and if somehow banks started foreclosing again which isnt likely to happen.