Will Home Prices Drop In 2025 California Department. And last year, in putting together housing goals for regions across the state, the. California's median home price is forecast to climb 4.6 percent to $909,400 in 2025, following a projected 6.8 percent increase to $869,500 in 2024 from 2023's $814,000.
Following a housing and economic projection published by the california association of realtors®, supply limitations and rising home prices will drive california home sales to decline. The california‘s housing market forecast for 2025 anticipates a rise in both home sales and prices, with the median home price potentially reaching $909,400.