Tri-Valley Market Update - February 2025

Market activity is picking up much earlier this year than in previous years. Our current inventory levels resemble those typically seen in the spring, with some Tri-Valley cities experiencing more than double the inventory compared to last February.

Here's a snapshot of today's inventory levels vs February of 2024:

Buyer activity is also on the rise. Over the past couple of weeks, I’ve seen several homes sell quickly with multiple offers. While much of this activity has been in the lower end of the market, I’ve also seen several $2M+ homes go pending within two weeks after receiving multiple offers.

I believe two key factors are driving this early surge. First, buyers may be accepting that interest rates won’t drop as quickly or as much as expected, prompting them to act now rather than wait. Second, growing optimism about the future may be encouraging more people to re-enter the market. It’s likely a combination of both. Whatever the reason, all signs point to 2025 shaping up to be a very active year for local real estate.