California Housing Market Crash 2024. The california median home price is forecast to rise 4.6 percent to $909,400 in 2025, following a projected 6.8 percent increase to $869,500 in 2024 from $814,000 in 2023. On average, each square foot cost $44 more to build in 2018 than it did a decade ago across the state.

According to c.a.r.’s 2024 california housing market forecast, the market will experience a significant recovery in 2024, as mortgage rates are expected to decline and more homes become available for sale. Car felt optimistic in its 2024 housing market forecast with falling mortgage rates, rising prices, economic expansion, and with demand for homes strong, the association wrote.