Each month we take a look at where the Peninsula housing market stands, using the latest figures from the California Association of Realtors (C.A.R.) and Freddie Mac. Here is the picture heading into the holidays.
The numbers
- San Mateo County median price: $2,327,500 for existing single-family homes in September, the highest median of any California county C.A.R. reports.
- Bay Area median: $1,325,000, up 1.9% from a year ago and up 4.2% from August. The Bay Area was the only major California region where the median rose from the prior month.
- Speed and supply: Bay Area homes sold in a median of 19 days, with about 2.6 months of inventory, the tightest market in the state.
- Statewide: the California median was $899,720, up 1.7% from a year ago, while closed sales fell 6.5%.
- Mortgage rates: the 30-year fixed averaged 6.86% in September and moved above 7% in October, its highest level since late 2023.
What it means for sellers
Inventory on the Peninsula is still tight, so well-prepared, well-priced single-family homes in cities like San Mateo, Burlingame and Hillsborough continue to draw strong interest. At the same time, higher rates are thinning the buyer pool, and signed contracts fell sharply nationwide in September. Buyers this fall and winter will be more selective. Homes that show well and are priced right still sell quickly; homes that miss the mark are more likely to sit.
What it means for buyers
Rates above 7% raise monthly payments, but less competition can mean more room to negotiate, especially on homes that have been on the market for a few weeks and on condos and townhomes. Get fully pre-approved at today's rates, ask your lender about rate buydowns, and talk with us about asking for seller credits instead of only a lower price.
City by city
Conditions vary from city to city and even street to street across Burlingame, Hillsborough, San Mateo, Foster City, Belmont, San Carlos, Redwood City and Woodside. Explore our Peninsula city guides, or request a free home valuation to see what your home could sell for in today's market.
Thinking about a move?
Whether you are planning to sell this spring or watching for the right home to buy, we are happy to walk you through what the numbers mean for your situation. Call Greg and Heather Damelio at (650) 245-8700.
Sources: California Association of Realtors, September 2026 Home Sales and Price Report (released October 19, 2026); Freddie Mac Primary Mortgage Market Survey; National Association of Realtors, September 2026 Pending Home Sales. Figures are for existing single-family homes.