C.A.R. releases its 2027 California Housing Market Forecast

California home sales are expected to rise 3.7% in 2027 to 277,900 units, with median home prices increasing 1.4% to $894,400. Housing affordability is projected to remain stable at 20%. Limited home inventory will support prices but limit market growth. Economic factors include 2.2% GDP growth, 0.3% job growth, a 5.4% unemployment rate, and a steady 6.6% average 30-year mortgage rate.