California Housing Market: Prices, Trends, Forecast 2026

As someone who's spent over four decades guiding clients through the unique real estate landscape of Palo Alto, Mountain View, Menlo Park, and the mid-peninsula, I know just how much market context matters when making big decisions. California’s housing market is currently experiencing modest growth, with the median home price at $901,420 and mortgage rates holding at 7%. While we’ve seen a slight increase in sales, the pace is still below 300,000 units a year—largely because high prices and mortgage costs remain a real hurdle for many buyers. Navigating these challenges calls for a steady hand, an ear to the ground, and a client-first approach—values I’ve always prioritized for both first-time and seasoned buyers and sellers alike.