The gaygent, gay realtor, gay real estate agent, Palm Springs Realtor, Palm Springs Real estate agent, Idyllwild Real Estate Agent, Idyllwild Realtor, Hemet Real Estate Agent, Hemet Realtor, Pine Cove Real Estate Agent, Riverside County Realtor, Riverside County real estate agent, Coachella Valley Realtor, Coachella Valley real estate agent, buy property in Idyllwild, buy property in Palm Springs, buy property in Coachella Valley, buy property in Hemet, buy property in San Jacinto, sell property in Idyllwild, sell property in Palm Springs, sell property in in Hemet, sell property in San Jacinto, sell property in Coachella Valley, sell property in in Riverside County, listing agent, buyers agent, “will on the hill”, the gaygent

C.A.R. releases its 2026 California Housing Market Forecast

CA home sales and median price are projected to inch up as housing affordability improves slightly.

Existing, single-family home sales are forecast to total 274,400 units in 2026, an increase of 2 percent from 2025’s projected sales pace of 269,000.

CA’s median home price is forecast to rise 3.6 percent to $905,000 in 2026, following a projected 1.0 percent increase to $873,900 in 2025 from 2024’s $865,400.

Housing affordability* is expected to inch up to 18 percent next year after edging up to a projected 17 percent in 2025 from 16 percent in 2024.

Proactively inquire about real estate trends and prices regarding:

• the local housing market

• inventory levels

• days on the market

• interest rate trends

• economic factors impacting the area

• CMA (Comparative Market Analysis)

• neighborhood-specific trends.

Market Insights

→

MBA (Mortgage Bankers Association)

&

Fannie Mae

Mortgage Bankers Association (MBA) Forecast:

Overall 2026 Rate: Anticipated rates to stay around 6.4% for the 30-year fixed mortgage throughout the year.

Trend: Expected rates to remain relatively constant, potentially oscillating slightly between 6.3% and 6.4%.

Fannie Mae Forecast:

End-of-Year 2026 Rate: Projected rates to fall to around 5.9% by the close of 2026.

Trend: Predicted a more significant drop, with rates hovering near 6% at the start of 2026 and gradually decreasing.

Key Differences:

The MBA foresaw rates staying higher and more consistent, while Fannie Mae anticipated rates falling below 6% by year-end.

These forecasts influence expectations for mortgage origination volumes and refinancing activity, with Fannie Mae expecting higher refinance volumes due to lower rates compared to the MBA.

©Will.iam Halfhill - "Will on the Hill"

"The gĀygent"

REALTOR® 02202075

©palmstopinesrealtor@gmail.com

925.421.5401

©OpenHouse.house

BILD

All information is deemed reliable but not guaranteed.

Buyers and sellers should conduct their own due diligence and consult with qualified professionals before making decisions.

As of 11/03/25, the current average 30-year fixed mortgage rate is around 6.19% (according to Bankrate)

As of early November 2025,

the average 30-year fixed mortgage interest rate in CA is approximately

5.99% to 6.13%,

with rates varying by lender and loan type.

For example:

a 15-year fixed rate is around 5.5%,

while a 7/6 ARM (Adjustable Rate Mortgage) is about 6.25%.

A 7/6 ARM is an adjustable-rate mortgage where the interest rate is fixed for the first seven years and then adjusts every six months (semiannually) after that period ends.

The "7" represents the number of years the initial interest rate is fixed, and the "6" indicates the frequency of adjustments per year during the remaining life of the loan.

Here are some average interest rates by loan type in California:

30-Year Fixed: Around 5.97% to 6.13%

15-Year Fixed: Around 5.5% to 5.55%

30-Year FHA: Around 5.88% to 6.13%

30-Year VA: Around 5.68% to 6.14%

3/1 ARM: Around 5.36%