Overview of the Market

The San Diego real estate market continues to evolve, with home prices stabilizing after a year of fluctuations. As of March 2025, the market is experiencing steady demand, though rising mortgage rates have slightly impacted affordability. Below is a snapshot of key housing metrics for the past month:

Metric	March 2025	February 2025	Year-over-Year Change
Median Home Price	$875,000	$860,000	+4.2%
Average Days on Market	32	29	+10.3%
New Listings	3,250	3,100	+5.5%
Closed Sales	2,850	2,900	-1.7%
Mortgage Rates (30-yr fixed)	6.4%	6.2%	+0.8%

Market Trends

Home Prices Holding Steady

Despite economic uncertainties, San Diego home prices have continued their upward trend, albeit at a slower pace than in previous years. The median home price has grown by 4.2% year-over-year, driven by continued demand and limited inventory.

Rising Mortgage Rates Impact Affordability

Mortgage rates have increased slightly, reaching 6.4% for a 30-year fixed loan. This uptick has caused some potential buyers to pause their searches, particularly first-time homebuyers who are more sensitive to rate fluctuations.

Inventory Levels Improving Slightly

The number of new listings has increased by 5.5% from last month, providing more options for buyers. However, inventory remains relatively tight compared to historical averages, leading to competitive bidding in some price segments.

Luxury Market Resilient Despite Economic Headwinds

San Diego’s luxury real estate market remains strong, particularly in coastal neighborhoods such as La Jolla, Del Mar, and Coronado. High-net-worth buyers continue to drive demand, often purchasing properties in cash to avoid high mortgage rates.

Luxury Market Segment	Median Price	Days on Market	Year-over-Year Price Change
La Jolla	$2.3M	45	+6.8%
Del Mar	$3.1M	38	+5.4%
Coronado	$2.8M	42	+4.9%

Rental Market Trends

With home prices remaining high, many residents are opting to rent instead of buy. The rental market has also seen growth, with average rents rising by 3.5% year-over-year.

Property Type	Average Rent (March 2025)	Year-over-Year Change
One-Bedroom Apartment	$2,850	+3.2%
Two-Bedroom Apartment	$3,750	+3.8%
Single-Family Home	$5,200	+4.1%

Looking Ahead

Experts predict that San Diego’s real estate market will remain stable through the summer, with moderate price appreciation and steady inventory levels. However, if mortgage rates continue to rise, demand may cool slightly.

Key Takeaways for Buyers and Sellers

• For Buyers: Rising interest rates mean acting sooner rather than later may be wise. Increased inventory could provide more options, but competition remains in desirable neighborhoods.
• For Sellers: Pricing competitively is key, as buyers are becoming more selective in a higher-rate environment.
• For Investors: Rental properties remain a strong investment, with rising rents and steady demand in key neighborhoods.

San Diego’s housing market remains dynamic, and whether you’re buying, selling, or investing, staying informed is crucial. Stay tuned for next month’s update!

XLNC Exotic Homes: Your Trusted Cash Home Buyer in San Diego

If you’re considering selling your home for cash, XLNC Exotic Homes offers a seamless and efficient process. They provide free consultations to help you understand your options and make informed decisions. With a team of experienced professionals, XLNC Exotic Homes ensures a smooth transaction, allowing you to sell your home quickly and with confidence.

Conclusion

Selling your San Diego home for cash in 2025 presents numerous benefits, including quick closings, reduced risk, and financial savings. Given the current market trends, now is an excellent time to explore this option. For a hassle-free experience, consider reaching out to XLNC Exotic Homes for a free consultation and discover how they can assist you in achieving your real estate goals.