California Real Estate Market in 2022: Forecasts + Trends

Clever Real Estate

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Clever Real Estate

September 1st, 2022
Updated September 1st, 2022

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California real estate trends

Real estate trends in California | Sellers | Buyers | Investors | The best and worst of California | California resources

California real estate trends (May 2022)

How is the real estate market in California?
🏠 Average home value: $775,876
📈 -1.15% home value decrease month over month
💰 Median sale price: $882,400
⏳ 33 days on the market
🔑 Homes on the market: 62,599
📆 1.9 months of housing inventory
🏦 30-year mortgage rate: 5.52000%
💵 Average income: 78672
State of the market: A-
Prime properties in California are still desirable and sell quickly. With low inventory, fast sales, and high sales prices, this market will stay hot.
*Data last updated May 2022

From Hollywood to Silicon Valley, California is home to some of the nation's most iconic and innovative industries. It's a popular destination for anyone who dreams of working in entertainment or technology.

But the Golden State isn't all glitz and glam — it's also a major agricultural region that produces much of the nation's almonds, strawberries, apricots, and more. Its Mediterranean climate provides comfortable temperatures year-round and nurtures the vineyards that supply Napa Valley's award-winning wineries.

Whether you're drawn to San Francisco's hills or San Diego's beaches, California offers endless opportunities for adventure.

If you're thinking of buying or selling in California, these California housing predictions and stats can help you make an informed decision.

Want to save money when you buy or sell your home? With Clever, you'll only pay 1% or $3K in listing fees. Eligible buyers get 0.5% cash back after closing. Find out how much you can save with Clever today!

Selling a home in California

California real estate market forecast for sellers
⏰ Homes are selling 5 days slower than the annual average
💰 Homes are selling for $4,743 more than the annual average
💸 Average listing commission: 2.500%
💸 Average buyer's commission: 2.41%

How to sell a home in California

Cost to sell a home in California

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List with the best agents in your area for just $3,000 or 1%. On average, Clever sellers save $9,000 on commission!

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Buying a home in California

How much home you can buy with $300,000 in...
🏠 Los Angeles: 504 sq ft
🏡 San Diego: 537 sq ft
🏡 San Francisco: 421 sq ft
🏠 Riverside: 935 sq ft

Investing in California real estate

Best of California

💡 Did you know…

Research from the Clever Data Center showed that full-time musicians in San Francisco earn more than musicians in 94% of other U.S. cities. The city also offers a unique array of smaller venues to support local musicians and cater to frequent concert goers.

» Taking notes? 🎵 Learn more about the rankings here: The Best Music Cities in the U.S.

The city also ranks #1 for caffeinated affordability, with the average Bay Area resident only spending about 1% of their annual income for their daily cup of coffee.

» Thirsty for more info? ☕ Read our full study here: The Best Coffee Cities in America

Each month, we compare locations in California based on different criteria. This month, we're looking at levels of happiness and ranking the best counties in the state.

Happiest Counties in California
1. San Mateo County
2. Santa Clara County
3. Mono County
4. San Francisco County
5. Marin County

Ready to buy a home in California? Eligible buyers get cash back with Clever!

Worst of California

Each month, we compare locations in California based on a different criteria. This month we're looking at levels of happiness data. These are the counties that ranked the worst in the state.

Least Happy Counties in California
1. Imperial County
2. Tulare County
3. Fresno County
4. Merced County
5. Tehama County

California resources

👋 Next Steps: Talk to an expert!

If you're weighing your options for buying or selling a house, Clever can help!

Our fully-licensed concierge team is standing by to answer questions and provide free, objective advice on getting the best outcome with your sale or purchase.

Ready to get started?

Give us a call at 1-833-2-CLEVER or enter your info below. Our concierge team will be in touch shortly to help.

Remember, this service is 100% free and there’s never any obligation.

Frequently asked questions about California real estate

Investing in California real estate, especially in cities like Los Angeles and San Diego, is a good move, since the demand for housing is always high. However, making the most out of your investment requires proper preparation, like knowing which neighborhoods to buy housing in and having a plan on how to manage the property. Learn more in our guide to real estate investing.

It is not the best time to purchase a house in California. Demand is high, so average listing prices are higher than average and options are slim. However, mortgage rates are currently low, meaning you can snag a deal if you find the right house and lock in a low rate. To have the easiest time in navigating your local market, it’s best to work with a top real estate agent.

Methodology

Clever's analysis of state market trends is based on local data from Zillow, realtor.com, Redfin, Bankrate, the U.S. Census, and Clever surveys. Our team of over 20 real estate analysts from across the country research local markets and data to compile our "Best" and "Worst" rankings.

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