The Napa, CA metro area housing market in February 2025 presents a complex landscape with varying trends across different metrics. The Median Sales Price has surged to $1,100,000, marking a significant year-over-year increase of 18.9%. This rise indicates a strong demand for homes in the area, despite other contrasting indicators.

Conversely, the Median List Price has decreased by 7.5% year-over-year, now standing at $1,200,000. This decline suggests that sellers may be adjusting their expectations in response to market conditions, potentially to attract more buyers.

The median Price Per Square Foot has increased by 3.8% to $628.47, while the Median List Price per square foot has also risen by 3.2% to $676.47. These increases reflect a steady appreciation in property values, albeit at a more moderate pace compared to the overall sales price growth.

In terms of sales activity, the number of Homes Sold has decreased by 3.3% year-over-year, with 58 Homes Sold in February 2025. However, Pending Sales have increased by 5.6%, reaching 76, indicating a potential uptick in future sales activity.

The market has seen a substantial increase in New Listings, up by 35.7% year-over-year, totaling 133 New Listings. Inventory levels have also risen significantly by 47.0%, with 366 homes available, contributing to a Months of Supply figure that has surged by 210.0% to 6.3 months. This increase in supply may provide more options for buyers and could potentially ease upward pressure on prices.

The Median Days on Market have increased by 26.0% to 85 days, suggesting that homes are taking longer to sell compared to the previous year. This trend may be influenced by the increased inventory and the adjustments in list prices.

The average sale to list ratio has decreased by 1.8% to 96.9%, indicating that homes are selling slightly below their list prices. Additionally, the sold above list ratio has dropped by 12.9% to 13.8%, reflecting fewer competitive bidding situations.

Price Drops have increased by 5.7% to 19.4%, suggesting that sellers are more frequently adjusting their prices to align with market conditions. Meanwhile, the percentage of homes going off market in two weeks has risen by 6.6% to 31.6%, indicating that a portion of the market is still experiencing quick sales.

Overall, the Napa housing market in February 2025 is characterized by a strong increase in sales prices amidst a backdrop of rising inventory and longer selling times. Buyers may find more opportunities with the increased supply, while sellers may need to adjust expectations in a more competitive environment.