Community Real Estate

San Diego County among least affordable as housing improves statewide
Source: MSN

Housing affordability in California improved slightly in 2025, but San Diego County remained among the least affordable markets, while significant gaps persisted for Black households, according to a report released Friday by the CALIFORNIA ASSOCIATION OF REALTORS® (C.A.R.). According to C.A.R., 19 percent of California households earned enough income to purchase a median-priced home in 2025, up from 18 percent the previous year.

In San Diego County, affordability was among the lowest in the state, with 17 percent of all households able to afford a median-priced home. Among demographic groups, 23 percent of Asian households and 21 percent of white non-Hispanic households could afford a home, compared to just 11 percent of Hispanic/Latino households — among the lowest rates statewide — and 11 percent of Black households, according to the report. The statewide median price for a detached home was &875,550 in 2025. A minimum annual income of $221,200 was required to afford monthly payments of about $5,530, including taxes and insurance, assuming a 20 percent down payment and a 30-year fixed-rate mortgage at 6.71 percent.

LA condo prices nosedive by 6%, to the lowest in 12 years
Source: AOL

There’s great news for those seeking a place to live in Southern California with the prices for condominiums in the area dropping to their lowest point in more than 12 years. The median home sale price in February for a condo in the six major SoCal counties came in at $656,000, according to property tracking site ATTOM. That price is down 6 percent compared to last year, when condos hit a peak of $699,000. The price plummet shows the biggest drop for condos in the area over a 12-month span since February 2012.

However, median prices for single family homes did not follow the same trend. In LA, the median price for a single-family home costs 31 percent more than a condo, per Homes.com. The median condo price in March fell 4.5 percent in LA, compared to single family homes that dropped 1.8 percent compared to the prior year. The report cited a 17.7 percent jump in growth in LA condo inventory compared to single family homes year over year, which could be a contributing factor to the price cuts.

Home flippers see smallest profits since the Great Recession
Source: CNBC

Higher mortgage rates, high home prices and tight supply are all conspiring to squeeze investors in the home flipping play. In all of 2025, roughly 297,000 single-family homes and condos were flipped nationwide, according to ATTOM, a real estate data provider, which defines a flip as a home purchased and sold in the same 12-month period. That was a decrease of 3.9 percent from 2024 and the lowest number of flips in any year since 2020. Investor flips accounted for 7.4 percent of all 2025 homes sales, down from 7.6 percent in 2024.

Flips are falling because profits are making it less and less worth it. With the backdrop of the highest median home prices on record, the typical home flip netted investors just $65,981 in gross profit, or a 25.5 percent return on investment, according to ATTOM. That is down from 32 percent the prior year and the lowest rate since the Great Recession in 2008. For comparison, profit margins were higher than 50 percent in the boom decade following the financial crisis, peaking at 61 percent in 2012, which is around the time home prices bottomed out.

More homes are for sale now than in 2025
Source: MarketWatch

Home prices are continuing to fall and inventory is rising, according to new Realtor.com data for the week ending March 14 – making way for a more buyer-friendly market. The report reveals that the number of homes for sale this year exceeds 2025 levels, with active inventory rising 5.6 percent year over year.

Meanwhile, the median list price fell 2.3 percent year over year, marking the 21st straight week of negative or flat growth, according to the report. Mortgage rates, though up slightly in recent weeks, are still down significantly from a year ago. Even historically tight West Coast markets such as San Diego and San Jose are seeing double-digit monthly increases of inventory. That shift should give buyers more options and a bit more bargaining power this spring.