Marin County Real Estate Market Report May 2025

From the Golden Gate Sotheby’s Bay Area Market Report…

Modest Gains Amid Mixed Macroeconomic Factors

The spring buying season continued to gain steam in April. Though the labor market remained mixed, with some sectors shedding jobs, payrolls in the educational and health services sector expanded by more than 3% year-over-year. Overall, wage gains accelerated with year-over-year growth increasing to 5% in April. The SF Bay Area also added 73,000 new residents in 2024 as a result of strong in-migration, according to recently released government data. The largest gain was in Santa Clara County, which added 29,000 residents. However, external macroeconomic events, including stock market volatility, inflation, and tariffs, likely caused some buyers to hold off on purchasing a home last month. As a result, sales and prices increased by only a small amount compared to the previous month.

Listing Surge Brings Inventory Back to Historical Levels

Encouraged by recent price growth and strong demand, sellers continued to list homes on the market. Active listings in the SF Bay Area increased to more than 8,300 homes in April. This was 2,600 more homes than at the same time last year, or a 45% increase. While a significant increase in inventory, this level was generally on par with historical trends whereas inventory in many other parts of the U.S. surpassed historical norms in recent months. Inventory increased most rapidly in the East Bay and North Bay, with 1,500 homes available for sale in Contra Costa County, more than any other county. Conversely, there were only 40 more listings in San Francisco than last year, a 14% increase.

Sales Tempered by Uncertainty

Despite the increase in inventory, sales activity was muted as some buyers were sidelined by stock market volatility and economic uncertainty. That said, more than 3,700 sales closed in the SF Bay Area in April, which was only 2% less than last year. Buyers continue to seek homes closer to major urban job clusters and amenities. Sales slowed in Alameda County but increased by 12% year-over-year in the more centrally located cities of Berkeley, Emeryville, Piedmont, and Oakland. The inverse was true in the eastern portion of the county, including Dublin, Pleasanton, and Livermore. Similarly, sales increased by more than 5% in the counties adjacent to San Francisco—Marin and San Mateo. The number of closed sales also improved year-over-year in Santa Cruz County. Significantly fewer sales closed in Contra Costa and Napa counties compared with last year. By price range, demand remained strong in the $3.5 million and greater tier, as more than 275 homes sold, a 10% increase from last year. Sales activity also increased among relatively more affordable homes—those priced under $1.25 million.

Evidence of Strong Demand

Overall, buyer demand remains strong amid some challenges. Highlighting strong buyer demand, especially for well-priced homes in desirable neighborhoods, 60% of sales closed for more than the list price. Sellers of these homes received 11% more than the asking price on average. In the inner SF Bay Area counties, the share of homes sold for over asking remained greater than 70%. Notably, more than three quarters of homes sold over asking in San Francisco, with buyers paying 20% more than the list price on average. Homes that sold in April were also on the market for less than a month on average, another sign of strong demand for SF Bay Area housing. Once again, this was even stronger in the inner SF Bay Area, with homes in Alameda, San Mateo, and Santa Clara counties selling in less than three weeks. Homes in San Francisco sold in 22 days. Napa County was the only county where the days on market increased by more than five days from last year.

As was expected, some buyers put plans on pause in April because of economic uncertainty and stock market volatility. However, in the face of various headwinds, buyer demand proved resilient—especially for well-priced inner SF Bay Area homes.

Looking Ahead

The spring buying season will remain in full swing for the next few weeks before transitioning into the summer buying season. While further stock market volatility is possible—and perhaps should be expected—markets were more stable at the end of April and into early May. Both of these factors could support greater buyer activity this month. More broadly, the underlying demand for single-family housing in the SF Bay Area remains strong and should be a stabilizing force for the market.

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