California home sales reached a seasonally adjusted annualized rate of 279,880 in June, according to data from the California Association of Realtors (CAR). This marked a 4.1% increase from the revised 268,810 homes sold in May and a 6% jump from 264,160 in June 2025.
However, statewide sales remained struck below the 300,000 benchmark for the 45th consecutive month. Nonetheless, June’s sales surge lifted year-to-date sales growth to 1.9% through the first half of the year. CAR noted that sales gains were driven primarily by entry-level and mid-tier homes, while sales of higher-priced homes retreated for the second straight month.
Pending sales during June rebounded 2.8% year-over-year after posting the first annual decline of this year in May. On a month-to-month basis, however, pending sales were down by 2.8%.
After reaching an all-time high in May, California’s statewide median home price eased in June but remained above the $900,000 mark for the third consecutive month. The statewide median price dipped by 2.8% from May’s record level of $930,260 to $904,640 in June. The share of million-dollar-and-above home sales declined from a record 38.5% in May to 36.9%, which forced downward pressure on the statewide home price.
“June’s rebound in housing demand helped the market close the second quarter on firmer footing, with the broad-based increase in sales suggesting that some buyers are beginning to adapt to the current interest rate environment,” said CAR Senior Vice President and Chief Economist Jordan Levine. “However, the recent escalation of conflict in the Middle East has added renewed upward pressure on mortgage rates, which could weigh on affordability and create additional headwinds for housing demand as the summer buying season unfolds.”
Housing inventory tightened further in June, with the Unsold Inventory Index (UII) retreating from 3.8 months in June 2025 to 3.1 months in June 2026. Total active listings were down 10.4% from one year earlier, marking the fifth consecutive month of annual declines and the largest year-over-year drop since December 2023.
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