Why are there more homes for sale right now? With mortgage rates back above 7%, some buyers have paused. Homes are selling more slowly, so unsold listings stack up alongside new ones and inventory grows.
Mortgage rates back above 7% isn't the news most people wanted. But it's changing the market in ways that matter, whether you're buying or selling in San Diego County.
The number of homes for sale is growing faster than it was this time last year. The main reason isn't a wave of new listings. It's that homes aren't selling as quickly.
Inventory Growth Is Picking Up
According to HousingWire Data, inventory growth slowed for most of the past year, then sped up again in recent weeks.
Here's why. When rates rise, some buyers hit pause. Fewer homes sell each week, and as those unsold homes sit alongside new listings, the total number for sale grows.
Compare this year to last:
This year: rates inched up, and national inventory grew by about 25,000 homes.
This time last year: rates came down, buyers jumped back in, and inventory dropped by about 9,000.
HousingWire Lead Analyst Logan Mohtashami sums it up simply: “when rates climb above 7%, demand softens and inventory rises.”
Homes Are Taking Longer to Sell
Time on market tells the same story. Realtor.com data shows the typical home spent 61 days on the market this September. In September 2021, it was 41 days.
In 2021, low rates brought more buyers into the market and homes sold fast. With higher rates, fewer buyers are active, so deals take a bit longer.
These are national numbers. In San Diego County, the pace varies by neighborhood and price range, so local data matters.
How to Make This Market Work for You
If You're Buying
More homes for sale means more choices, less pressure to rush, and more room to negotiate.
A home that's been on the market for a while may have a seller who's more open to talking, not just about price, but about repairs, closing costs, or helping buy down your rate.
Not every seller will say yes. But compared to the frenzy of a few years ago, buyers have more leverage now.
If You're Selling
Buyers have more options, so your home needs to stand out. That comes down to my three pillars: location, condition, and price.
Price it right from day one. Overpricing costs you time, and time on market costs you leverage.
Make a strong first impression. Condition and presentation matter more when buyers can compare.
Highlight what makes your home worth choosing. In San Diego, that's often location, the neighborhood, and the lifestyle that comes with it.
Buyers are still buying and homes are still selling. The key is positioning yours to attract the right buyer.
The market hasn't stopped. It's moving at a different pace, and your strategy should move with it.
Frequently Asked Questions
Is inventory going up in San Diego?
Nationally, inventory is growing as higher rates slow sales. In San Diego County, it varies by neighborhood and price point, so it's worth checking the numbers for your specific area.
Is now a good time to buy a home in San Diego?
With more homes on the market and longer selling times, buyers have more choices and more room to negotiate than they've had in years.
How long does it take to sell a home right now?
Nationally, the typical home spent 61 days on the market in September, up from 41 days in 2021. Local timelines depend on your neighborhood, price, and condition.
Let's Look at Your Neighborhood
Inventory is growing and homes are taking a bit longer to sell. That should shape your strategy. Whether you're buying or selling, call or text me and let's look at how long homes are taking to sell in your neighborhood, so your offer or your price fits today's market.
Billie Bourgeois | REALTOR® Real Broker | San Diego County, CA DRE# 01703336
