The economy is slowing down, mortgage rates are up, and home prices aren’t really moving. If you’ve been thinking about buying a home in San Diego in 2025, it makes sense if you’re feeling unsure. Many buyers are hitting pause right now—waiting to see how things play out before making a big decision with our current shrinking economy. And the headlines aren’t exactly reassuring.
Recently, the U.S. Bureau of Economic Analysis reported that GDP dipped by 0.3% in the first quarter of 2025, after a solid 2.4% jump at the end of last year. It’s the kind of news that makes anyone think twice. But savvy buyers aren’t sitting still. They’re asking good questions, looking at the numbers, and putting a plan together.
A Straightforward 3-Step Game Plan for Homebuyers in 2025
If you’re feeling torn about buying right now, here’s a simple, no-stress way to look at your next move.
Step 1: Pinpoint What’s Really Causing the Hesitation
A lot of buyers are echoing the same thought right now:
“I think I just want to wait and see what happens with the economy. I don’t want to make a mistake.”
That’s a totally valid feeling. Buying a home is one of the biggest decisions you’ll make—and when the economy feels shaky, it’s only natural to feel unsure about the timing. But instead of hitting pause completely, try getting curious: What exactly is making you feel uneasy?
Is it rising interest rates? Home prices? Job stability? Or maybe just not knowing if it’s the “right” time?
Once you get clear on the real worry, it’s a lot easier to sort through your options and make a decision based on facts—not fear.
Step 2: Understand What the Market Is Actually Doing
A lot of buyers right now are holding off, thinking prices will crash or interest rates will suddenly drop. At least, that is what they are hoping for. But the data is telling a different story.
According to Realtor.com’s April 2025 housing report, we’re seeing several shifts that actually favor buyers:
- Inventory is up 30.6% compared to last year, which means more options and less competition.
- 18% of listings had price drops in April—the highest for any April since at least 2016. That’s a strong sign that sellers are adjusting to what buyers are willing to pay.
- Homes are taking a bit longer to sell, with a median of 50 days on the market—up by four days from a year ago. So you’ve got more breathing room to make thoughtful decisions.
- The national median list price is holding steady at $431,250, and price per square foot is up just 1.1%. That tells us values are stable, but appreciation is cooling.
Bottom line: this isn’t 2008. In fact, in four of the last six recessions, home prices actually increased. So if you’re paying attention, asking smart questions, and planning strategically, this could be a real window of opportunity.
Now let’s take a closer look at San Diego.
Right now, there are about 2,350 homes for sale—up from 1,980 at the same time last year. The average home is spending 32 days on the market, and nearly 1 in 3 homes (28%) have had a recent price cut.
These local numbers matter just as much—if not more—than what’s happening nationally. Because no matter what the headlines say, real estate is always local.
Step 3: Build a Plan
No matter what your timeline is, planning is key.
If you are looking to buy a home in San Diego within the next 18 months, you have two clear options:
- Option 1: Create a 6–12 month plan where you rent, save, and watch the market closely.
- Option 2: Explore what’s available right now and see if there’s an opportunity to buy with less competition while others are still hesitating.
Neither option is wrong.
We’ll leave you with this—it can be easy to let uncertainty take over when things feel unpredictable. But often, the smartest moves are made when we stay grounded in facts, focused on our goals, and open to possibility.