🎄 The 3 Bay Area Housing Market Questions Everyone’s Asking This Season

Whether it’s at a family gathering, your office holiday party, or while catching up with friends, there’s one topic that always comes up this time of year — the housing market.

If you’re in the Bay Area, that conversation usually sounds something like this:

“Are there even any homes for sale right now?”

“Can anyone actually afford to buy?”

“Should I just wait until prices drop?”

Let’s break down the three most common questions people are asking this season — and what the latest data really says.

1. “Will I even be able to find a home if I want to move?”

Yes — more than you could a year or two ago.

After years of record-low inventory, the number of homes for sale has been climbing. According to Realtor.com, there have been over one million homes on the market for six straight months, something we haven’t seen since 2019.

That’s great news for both buyers and sellers:

• Buyers now have more choices and less competition.

• Sellers finally have more options for their next move.

If you paused your home search last year because nothing fit your needs, it’s worth taking another look. The market isn’t as frantic as it was during the height of the pandemic — homes are staying on the market a bit longer, giving you more breathing room to explore your options and make confident decisions.

In the Bay Area, this means you’re more likely to find a home that actually checks your boxes — whether that’s a quiet East Bay neighborhood, a Silicon Valley townhome, or a Peninsula single-family home.

2. “Will I ever be able to afford a house?”

Affordability is finally showing signs of improvement.

Let’s be honest — the past few years have been challenging for buyers. But lately, there’s been some encouraging movement:

• Mortgage rates are easing slightly.

• Home price growth has started to moderate.

Together, that’s translating to lower monthly payments — in some cases, hundreds of dollars less than what you would’ve paid just a few months ago.

Buying in the Bay Area will probably never feel “cheap,” but improving affordability gives more buyers a realistic shot at getting into the market. And as rates continue to stabilize, that window could widen even further in 2026.

3. “Should I wait for prices to come down?”

That’s one of the most common — and misunderstood — questions.

Many people expect prices to drop sharply, but the data just doesn’t support that outlook. While inventory has increased, it’s still far below the level needed to trigger major price declines. Plus, most homeowners today have significant equity and stable finances — a completely different situation from 2008.

Here in the Bay Area, prices vary by region:

• Some areas, like San Francisco, have seen modest corrections.

• Others, like the South Bay and the Peninsula, continue to experience steady (if slower) appreciation.

Nationally, Fannie Mae projects home prices will keep rising — just at a more normal, balanced pace.

The takeaway? Trying to “time the market” rarely works. Those who stay in the market and focus on long-term goals tend to build the most wealth over time.

🏡 Bottom Line

Housing market talk can feel noisy and confusing — especially when everyone seems to have a different opinion. But underneath all the chatter, the trends point toward a more balanced market with improving opportunities for both buyers and sellers.

If you’re thinking about your next move in the Bay Area real estate market, let’s connect. I’ll help you make sense of what’s happening right now — and what it means for your goals in 2026.

Insights originally shared by Keeping Current Matters. Local perspective and commentary by Yvonne Yang, Top Bay Area Realtor®.