San Diego Housing Market 2024 Year in Review
2024: The Year the Market Found Its Footing
After the whiplash of 2020-2023 — from pandemic-driven bidding wars to the sharpest rate hikes in decades — 2024 was the year the San Diego housing market settled into a new normal.
Here is what defined the year.
The Numbers
- Median Home Price: $890,000 (up 3.2% from 2023)
- Total Homes Sold: Down 8% year-over-year
- Average Days on Market: 24 days
- Mortgage Rates: Ranged from 6.5% to 7.1% through the year
Key Trends
1. Rates Stayed Higher for Longer
The Fed held rates steady through most of 2024. The widely predicted rate cuts did not materialize until late Q4, and even then, they were modest. This kept affordability tight and sidelined many first-time buyers.
2. Inventory Slowly Improved
Active listings increased about 15% over 2023 levels. Sellers who had been holding onto their low-rate mortgages started to list — some due to life changes (job relocations, divorces, growing families), others because they saw prices stabilizing.
3. Luxury Market Stayed Strong
Homes above $2M in La Jolla, Rancho Santa Fe, and Del Mar continued to sell well. Cash buyers and relocating tech/biotech professionals kept the high end moving.
4. First-Time Buyers Got Creative
With median prices near $900K, many first-time buyers looked to:
- East County (El Cajon, La Mesa) for sub-$700K options
- Condos in Mission Valley and Mira Mesa
- ADU/house-hack strategies
- Down payment assistance programs
5. North County Outperformed
Carlsbad, Encinitas, and Oceanside saw consistent demand. The combination of lifestyle appeal, school quality, and relative affordability (compared to La Jolla or Del Mar) made North County the sweet spot for many buyers.
What It Means Going into 2025
The market is healthier than it has been since pre-pandemic. Prices are stable, inventory is improving, and the frenzy-driven mistakes of 2021-2022 are behind us. Buyers have more power to negotiate, and sellers need to price accurately.
Looking to buy or sell in San Diego? Contact Sam for a market analysis tailored to your neighborhood.