Marin County Real Estate Market Report February 2025

Marin County Real Estate Market Report
February 2025

byThomas Henthorne|February 24, 2025|inMarin Real Estate, Market Reports

February 2025 Marin County Real Estate Market Report

The Marin County real estate market in January 2025 reflected seasonal trends alongside broader economic factors, including rising inflation and shifting buyer sentiment. Home prices continued their downward trend, while inventory levels surged compared to last year.

Marin Real Estate Market Overview

Median Sold Price: $1,460,000 (▼9% from Dec 2024, ▼12.5% YoY)
Active Listings: Up 24% YoY, giving buyers more options
Average Days on Market: 75 days (▲33.9% from Dec 2024, ▲13.6% YoY)
Months of Inventory: 3.3 months (▲138% MoM, ▲42.8% YoY)

Key Takeaways on the Marin Real Estate Market

📉 Home Prices Declining – The median sold price in the Marin real estate market fell 9% from December and 12.5% compared to January 2024, reflecting seasonal slowing and shifting buyer dynamics.
🏡 More Homes for Sale – Inventory rose 24% compared to January 2024, creating more choices for Marin real estate buyers.
⏳ Slower Market Pace – Homes are taking longer to sell, with the average days on market increasing to 75 days, the highest in over a year.
💰 Inflation & Interest Rate Uncertainty – The consumer price index rose 3% YoY in January, with economists warning that broad disinflation may be over. This could impact the Fed’s policy stance and keep mortgage rates volatile, directly affecting the Marin real estate market.

Economic & Interest Rate Impact on Marin Real Estate

While mortgage rates declined slightly at the end of 2024, the latest inflation data suggests that the Federal Reserve may hold off on rate cuts, keeping borrowing costs higher.

Higher rates continue to impact affordability in the Marin real estate market.
Buyers may become more selective, favoring well-priced homes in Marin County.

Marin Real Estate Forecast for Early 2025

Buyers Have More Leverage – With inventory up 24% YoY, buyers in the Marin real estate market have more choices and stronger negotiating power.
Sellers Must Price Competitively – Overpricing could lead to extended time on the market and potential price reductions.
Inflation & Fed Policy Will Be Key – If inflation remains sticky, mortgage rates in Marin County could stay elevated, dampening buyer demand.

I believe we continue to move into a more balanced market in Marin County. If you read the Bay Area market report below, you will see that the entire Bay Area is experiencing higher inventories and longer days on market. The higher end of the market appears to be more resilient, while entry level homes are taking longer to find buyers.

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How Can I Help?

Marin County continues to showcase its resilience and desirability, even amidst shifting market dynamics. Whether you’re buying, selling, or just staying informed, my expertise ensures you’re equipped to navigate Marin’s unique real estate landscape. Let me help pave the road to success for you!

If you have any questions about the market or are considering your next real estate move, please don’t hesitate to reach out. Together, let’s make your real estate goals a reality. Call or text me anytime at 415-847-5584.

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From the Golden Gate Sotheby’s Bay Area Market Report…

MORE INVENTORY AND JOB GROWTH POINT TO STRONG START

More homes came onto the market in the SF Bay Area in January, potentially paving the way for a strong spring buying season. One of the primary constraints on the housing market in the last year has been a low number of homes for sale. SF Bay Area workers continued to return to the office in greater numbers, which helped bolster demand for homes in the inner SF Bay Area.

Across the region, SF Bay Area employers added nearly 12,000 jobs in 2024. The unemployment rate remained tight at 4.4%, which also supported wage growth of nearly 4%. The combination of stronger job growth in 2025 and more aggressive return-to-office requirements may support even stronger buyer demand in the coming months.

While sales were stable compared with one year ago, the inventory of homes for sale jumped in a sign of potential optimism among sellers. Inventory typically builds into the spring buying season, but the January increase was particularly large relative to the last few years. More than 4,500 homes were available for sale in January across the SF Bay Area, which was 1,000 more homes than last month and nearly 1,700 more than last year. The East Bay accounted for the bulk of this increase, while inventory was more stable on the Peninsula.

More broadly, the increase in inventory may also signal a shift towards greater equilibrium after the sellers’ market of recent months.

Bay Area Real Estate market report sales by county January 2025 chart

SALES DRIVEN BY SEASONAL PATTERNS, INTEREST RATES, AND RETURN-TO-OFFICE TRENDS

As people returned from the holidays and winter weather set in, home sales slowed from December. However, with nearly 1,900 homes sold, sales were still on par with last January. Sales of higher priced homes bolstered overall sales totals, while higher mortgage rates and reduced affordability dampened sales in the lower price segments.

More than 230 homes sold for $2.5 million or more in January, a 13% increase compared with last year. Meanwhile, sales of homes priced at less than $1.25 million declined by 6%. Sales in the middle price segment, from $1.25 to $2.5 million, increased by 5%. County sales figures reflected similar trends, though the stronger return-to-office trend spurred additional buyer activity in inner SF Bay Area neighborhoods.

Sales in San Francisco County surged by 29% year- over-year. Buyer activity in Santa Cruz and Napa counties—where vacation homes typically account for a greater share of sales—was also much stronger than last year. Conversely, there were fewer sales in Contra Costa and Solano counties.

HIGHER INVENTORY YIELDS MORE BALANCED MARKET

While competition for homes was still relatively strong, especially in premier neighborhoods, buyers also had more options to choose from in January. As a result, the housing market moved closer to equilibrium, with homes spending slightly longer on the market and a larger share selling at the list price. Following the lull around the holidays, the average length of time homes spent on the market increased to 43 days in January. This was slightly longer than last year, but less than would be considered typical for January.

The share ofhomes that sold for the asking price also increased to 9% in January, the largest share since late 2020. Meanwhile, the share of homes sold for more than the asking price decreased to 44%. This share was greater than last year, but much less than the long-term average of 56%.

As seen with home sales data, the inner SF Bay Area outperformed for these metrics as competition accelerated. A larger share of inner SF Bay Area homes sold for more than the asking price compared with last year, while the average days spent on the market was stable or decreased.

LOOKING AHEAD

Overall, January highlighted the strong demand for homes close to job centers or schools and in prime neighborhoods, as well as the ongoing affordability challenges posed by higher mortgage rates. If mortgage rates remain stable, potential buyers may be more likely to accept this new reality and come off the sidelines. An increasing share of office workers should also return to the office in 2025, boosting demand for homes near
transit and corporate clusters.

These factors, along with greater job gains and positive stock market performance, would bolster the SF Bay Area housing market.

Please click here to read the full report.

What My Clients Are Saying…

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Marin Real Estate Market Stats

Marin County Real Estate Market Report Charts

(click any slide to enlarge & launch slideshow)

“For Sale” vs. Sold Home Prices vs. Median Home Prices

Marin Home Prices List Price vs. Sold

Marin County Months of Inventory Based on Closed Sales

Average Price Per Square Foot

Marin County Number of Homes on the Market

I hope you have found my Marin County Real Estate Market Report informative. Please feel free to add your comments, questions or suggestions in the comments section below. If I may be of any assistance in helping you attain your real estate goals, please call or text me at 415-847-5584 and I will be in touch right away.

Would you like to see this data for your town only?

I am also excited to announce that my website now has new real estate market reports by town with more coming soon. Please check these out:

Belvedere Real Estate Market Report

Corte Madera Real Estate Market Report

Fairfax Real Estate Market Report

Kentfield Real Estate Market Report

Larkspur Real Estate Market Report

Mill Valley Real Estate Market Report

Novato Real Estate Market Report

San Anselmo Real Estate Market Report

San Rafael Real Estate Market Report

Tiburon Real Estate Market Report

These are all accessible from the “Market Reports” menu item here on my website at any time.

About the Author

Thomas Henthorne is consistently top-ranked, award-winning real estate agent in Marin, helping people buy and sell homes for almost a decade. He writes the #1 real estate blog in Marin County and is a frequent speaker on panels at industry gatherings.

He may be reached at 415-847-5584.

Learn More About Thomas Henthorne

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