Sacramento’s housing market is cooling in 2025. Prices are no longer climbing like they did during the pandemic. Growth has turned negative in many areas. Inventory is rising. More sellers are cutting prices. According to the data available on Reventure App, buyer demand is weaker.
The market is shifting. Both buyers and sellers need to watch trends closely as conditions continue to change this year. Let’s explore that in detail:
Sacramento, CA’s Home Value Growth YoY Dropped to -1.1% in 2025
Sacramento’s housing market slowed in 2025. Home value growth fell to -1.1% year-over-year. In 2024, it was up 3.9%. The drop marks the second decline in three years. According to the data available on Reventure App, 2023 saw a much steeper fall of -8.7%.
Sacramento, CA’s home value growth dropped to -1.1% in 2025. Access the home value YoY growth graph of the metro here. [Link]
The change comes after a strong run during the pandemic. Home values surged 19.6% in 2021 and stayed high into early 2022. Rising mortgage rates and higher living costs have since cooled demand. Inventory has grown, giving buyers more choices. This has led sellers to adjust prices.
Looking back over the past two decades, Sacramento’s market has seen significant fluctuations. Gains of over 20% came in 2005 and 2013. Sharp drops followed in the late 2000s housing crash, including a -17.1% fall in 2008. The current -1.1% figure is modest compared to those years but shows a continued cooling trend. The market remains far below its recent peaks.
Housing Market Trends in the Counties of Sacramento, CA in 2025
Sacramento County leads with the biggest decline. Home value growth is down -1.6% in 2025. For-sale inventory is 2,636 homes. Price cuts are common, with 32.8% of listings reduced. Homes spend about 44 days on the market. According to the data available on Reventure App, the county is 6.3% overvalued.
Sacramento County has the highest sales inventory (2,636) in the Sacramento, CA, metro area. Access the above map here. [Link]
Placer County shows a smaller drop. Home value growth is down -0.6%. Inventory stands at 1,579 homes. About 28.9% of listings have price cuts. Homes stay on the market for 52 days. The county is 4.0% overvalued. El Dorado County also feels the slowdown. Home values are down -1.0%. Inventory is 1,078. Price cuts affect 28.9% of listings. Homes take 56 days to sell. The market is 1.9% undervalued.
Yolo County has the lowest inventory at 356 homes. Home value growth is down -0.7%. Price cuts affect 31.1% of listings. The average time on market is 52 days. The county is 3.1% undervalued. Overall, all four counties show slower growth. Inventory is rising. Price cuts are widespread. Buyers have more choices, and sellers face more competition in 2025.
Sacramento, CA’s Housing Market Predictions for 2025 – 2026
Sacramento’s market score is 38 out of 100 in 2025. This is below 45, which means a declining market. According to the data available on Reventure App, the score was 50 last year. The drop moves the market from stable to declining.
Sacramento, CA’s Home price forecast score reached 30/ 100 in 2025. Access the home price forecast score chart here. [Link]
In a declining market, buyer demand is reduced. There are more sellers. Homes take longer to sell. Price cuts become more common. Future home price declines are likely. The shift follows two years of slower growth and higher inventory. Sellers may need to adjust expectations. Buyers may find more options and room to negotiate. The market is now in a position where further softening is possible through 2026.
For buyers, sellers, and investors navigating Sacramento’s shifting market, timing and insight are everything. And for insights, you can get Reventure’s premium plan for just $39/month. It gives forecasts for state, metro, county, and ZIP code levels. You can track inventory, prices, value trends, and market strength. Plan to buy smart. Plan to sell well or just follow the market. Reventure gives you the local data you need to stay ahead.
