Housing Market Forecast for the Rest of 2025: San Diego’s North County Coastal Insights

Thinking of buying or selling in North County San Diego? In 2025, home prices and mortgage rates are trending toward moderation—not collapse. This post brings you the most current expert forecasts tailored for communities like Del Mar, Rancho Santa Fe, Encinitas, Carlsbad, Cardiff, and Leucadia. Instead of chasing headlines, let’s explore what the data reveals—and how it applies to your strategy.

How Are Home Prices Trending Locally?

San Diego County Overview

• The median sale price for homes as of mid-2025 is approximately $970,000, representing a slight year-over-year decline.
  
  

• County-wide single-family home prices are averaging around $1.04M, showing marginal growth compared to 2024.
  
  

• Zillow reports the typical home value in San Diego at about $1,015,000, down 2.5% from last year.
  
  

What It Means for North County Luxury Markets

Upscale coastal communities like Del Mar, Rancho Santa Fe, Encinitas, and Carlsbad generally outperform county averages due to strong demand and limited inventory. While broader San Diego has seen a slight softening, luxury properties continue to hold value, with minimal pricing fluctuation.

Key Insight: Expect slower appreciation or stable pricing, rather than significant declines.

Mortgage Rates: What Experts Are Forecasting

• As of July 2025, 30-year fixed mortgage rates are hovering between 6.5% and 7%, with the current average near 6.75%.
  
  

• Leading analysts project rates will gradually decline to an average of around 6.4% by year-end.
  
  

• Significant drops below 6% are not expected until early 2026, meaning buyers shouldn’t delay solely waiting for better rates.
  
  

Takeaway: Focus on affordability solutions such as rate buydowns, adjustable-rate loans, and future refinancing rather than postponing your purchase.

National Forecasts Provide Context

• Goldman Sachs forecasts 3.2% U.S. home price growth in 2025.
  
  

• Moody’s Analytics expects only 0.5% growth in 2025, followed by a modest rebound in 2026.
  
  

• Zillow’s revised outlook anticipates a small national price dip of about 2% over the year.
  
  

• Overall, experts agree: expect stability and moderation—not a crash.
  
  

Planning Tips for Buyers & Sellers

For Buyers in North County Coastal

• Affordability remains tight, but modest rate declines and price stability can help improve opportunities in the coming months.
  
  

• If lifestyle needs or relocation plans are urgent, now may be the right time to buy instead of waiting for unlikely rate drops.
  
  

For Sellers

• With inventory slightly higher than last year, strategic pricing and strong marketing are key.
  
  

• Luxury coastal markets remain in demand, so well-presented properties continue to attract qualified buyers.
  
  

Final Takeaway

For the rest of 2025, San Diego’s housing market will likely remain steady with minimal fluctuations. North County’s luxury enclaves like Del Mar and Rancho Santa Fe are expected to stay resilient. Mortgage rates will hover near 6.4–6.7% by year-end, making smart planning and expert guidance essential for buyers and sellers alike.

Curious how these trends affect your buying or selling plans? Let’s connect to create a strategy that works for your goals in North County Coastal.

Content References (Appendix):

1. Zillow Research – Home Value & Sales Forecast 2025
   
   

2. Redfin Market Data – San Diego County Housing Trends 2025
   
   

3. Fannie Mae Mortgage Rate Forecast 2025
   
   

4. Goldman Sachs U.S. Housing Market Outlook 2025
   
   

5. Moody’s Analytics Housing Market Projections
   
   

6. Freddie Mac Mortgage Market Survey
   
   

7. National Association of Home Builders (NAHB) Housing Price Insights

💬 Ready to Connect?

Let’s talk about your goals, your vision, and how I can help you make your next move with confidence.
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🌐 www.barbarachamizo.com
 📍 Serving North County Coastal: Del Mar, Encinitas, Carlsbad, Rancho Santa Fe, and beyond.