Temecula Housing Makret – Prices Hold Steady, Inventory Remains Tight, and Buyers Stay Active
March 2025 Temecula Housing Market Overview
The Temecula housing market remains competitive as we head into the spring season. Home prices are holding steady, buyer interest is building, and inventory continues to be one of the biggest challenges in the market.
As of March 2025, the median sold price in ZIP code 92592 sits at $740,000, unchanged from the previous month. This consistency in pricing indicates ongoing demand and limited downward pressure, despite fluctuations in mortgage interest rates.
Key Temecula Market Stats – March 2025
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Median Sold Price (92592): $740,000
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Median Estimated Property Value: $784,690
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Up 0.8% month over month
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Up 6.7% year over year
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Average Days on Market: 15
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List-to-Sale Price Ratio: 99.2%
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Inventory Supply: 2.4 months (up 8.9% MoM, up 31.9% YoY)
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Median List Price: $849,000 (up 6.9% MoM)
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Pending Listings: Up 7.5% MoM
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Sold Listings: Down 11.1% MoM
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Public Record Sales Median Price: $715,000
Buyer Activity Is Heating Up Despite Rates
Buyers are continuing to show up, especially as we move closer to the summer season. While interest rates are still hovering between 6% and 7%, the market is adjusting. Many buyers are choosing to move forward rather than wait for uncertain rate drops.
Pending sales increased by 7.5% in March, suggesting that motivated buyers are making offers now in anticipation of more competition in the coming months.
What’s Keeping Inventory Low?
One of the biggest challenges in the current market is the lack of available homes. We’re only seeing about 2.4 months of inventory in the Temecula area, which is still considered a seller’s market.
Sellers are hesitant to list due to the cost of “trading up.” Many homeowners have low mortgage rates and are reluctant to sell and purchase a new home at today’s higher rates. This creates a gridlock in the market, limiting inventory even as buyer demand rises.
What This Means for Sellers in Temecula Housing Market
If you’re a homeowner in Temecula or nearby communities like Murrieta, Menifee, or Canyon Lake, this could be an excellent time to list your home. With low inventory and strong buyer activity, well-priced homes are selling quickly and often receive strong offers.
Homes in 92592 are selling at 99.2% of asking price and spending just 15 days on the market on average. If you’re considering selling, taking advantage of this spring and early summer wave could put you in a great position before more sellers enter the market.
Advice for Home Buyers
For buyers, the name of the game is preparation. Getting pre-approved and working with an experienced local Realtor can help you act quickly when the right property comes along. While interest rates may feel high, they’ve remained relatively stable, and locking in a rate now could make sense—especially if home values continue to rise.
If you’re buying in Temecula, Murrieta, Lake Elsinore, or Fallbrook, you’ll want to stay updated on the latest inventory, price trends, and neighborhood insights.
Temecula vs. the Region – Home Value Comparison
Temecula home values continue to outpace regional and national averages:
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Temecula (92592): $784,690
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Riverside County Median: Just over $600,000
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California Statewide Average: Just under $800,000
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U.S. National Median: Just below $400,000
This data shows the demand and desirability of the Temecula Valley area. With its strong schools, vibrant community, and proximity to San Diego and Orange County, it remains one of Southern California’s most attractive markets.
Looking Ahead: Spring and Summer 2025 Forecast
As we step into spring and head toward summer, expect buyer activity to increase. The warmer months historically see a surge in both listings and closings. However, if inventory continues to lag behind demand, we may see continued price stability or even slight appreciation into mid-2025.
Unless there’s a major shift in interest rates or economic news, the market will likely remain competitive for buyers and favorable for sellers.
Thinking of Buying or Selling? Let’s Talk.
If you’re considering buying or selling in Temecula, Murrieta, Menifee, Canyon Lake, Lake Elsinore, Fallbrook, or beyond, now is the time to connect with a local expert who knows the market inside and out.
📞 Reach out to Toma Johnson today for a personalized consultation. Whether you need a home valuation or want to start the buying process, I’m here to help.
