California’s housing market continues to show signs of slowdown, with home sales approaching levels not seen in over 20 years. According to recent data from Attom, a total of 23,317 existing and newly built homes were sold in November 2025, marking the second-lowest November performance in more than two decades. Compared to the previous year, sales fell 8 percent and remain 30 percent below long-term monthly averages.
Over the past three years, California has averaged 26,428 home sales per month, reflecting a 31 percent decline from the pace of the prior 18 years. Mortgage rates, which averaged 6.3 percent in the three months ending in November according to Freddie Mac, are slightly lower than last year’s 6.5 percent average. Despite this dip, the lower rates have had limited impact on homebuying activity, which continues to be constrained by high home prices.
The state’s median home price in November was $735,000, a modest 0.3 percent increase from a year ago and about 2 percent below the peak of $751,000 reached in June 2025. While property values have grown 9 percent over the past three years, this pace is far slower than the 32 percent increase seen between 2019 and 2022.
Buyer caution is also evident, with many home purchases falling through mid-process. In Los Angeles, 14.9 percent of home sales were canceled in August 2025, a slight drop from 15 percent the previous year. San Jose and San Francisco saw even larger increases in cancellations, reflecting uncertainty in the market despite modestly lower mortgage rates.
For buyers and sellers navigating today’s California market, expert guidance is more important than ever. Understanding local trends, pricing strategies, and timing can be the difference between a successful transaction and a missed opportunity.
At Boutique Realty, we help clients confidently navigate California’s dynamic housing market. Whether you are buying your next home, selling a property, or seeking insights on market trends, our team delivers personalized service and strategic expertise. Connect with us today at 818-312-0821, al***@**********la.com, or visit allensellsla.com to start your real estate journey with confidence.