- San Diego-Chula Vista-Carlsbad home prices fell 2.0% year-over-year in May 2025.
- National house price appreciation stabilized at 2.1%, the slowest rate since 2012.
- Rising mortgage rates are offsetting affordability impacts through slower price growth.
According to First American Data & Analytics, the San Diego-Chula Vista-Carlsbad area experienced a 2.0% decrease in home prices year-over-year in May 2025. On a month-to-month basis, home prices in this metro region declined by 0.4% compared to April 2025.
Nationally, house prices showed a stabilization with a 2.1% increase from May 2024 to May 2025. This marks the slowest national house price appreciation since 2012, largely due to rising mortgage rates which have tempered demand. Despite this, increasing household incomes have helped to cushion the impact of these elevated mortgage rates on home affordability.
Chief Economist Mark Fleming noted that while price growth in many Southern and Western markets was either flat or declining, the overall equity gains from the pandemic era have lessened the impacts of these decreases. For example, Tampa, Florida, despite a 4% annual price drop, had previously seen a 70% surge in home prices from pre-pandemic levels.
In other metropolitan areas, markets like Cambridge, Massachusetts, and Pittsburgh showed significant year-over-year price increases, largely outpacing the national average. First American Data & Analytics' detailed report further segments home prices into specific tiers, providing a nuanced look at market changes across various regions.
