Southern California's housing market showed stability at the end of 2025, with a 1.7% year-over-year sales increase and a slight 0.6% rise in median home prices. Sales surged 13.5% month-over-month in December, driven by lower mortgage rates averaging 6.19%. Inventory tightened to 2.9 months, and homes took about 35 days to sell. Price growth is expected to slow to 2-4% in 2026, with steady demand and regional disparities persisting.
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