The Oakland, CA metro area housing market is experiencing a notable shift as we enter 2025. The Median Sales Price has decreased to $820,000, marking a significant year-over-year decline of 8.9%. This drop in sales price contrasts sharply with the Median List Price, which has risen by 16.6% to $898,000. This divergence suggests a potential disconnect between seller expectations and buyer willingness, possibly influenced by broader economic conditions or changes in buyer preferences.

Despite the decrease in sales prices, the median Price Per Square Foot has seen a modest increase of 2.1%, now standing at $560.86. This indicates that while overall prices have dropped, the value attributed to the space itself has slightly appreciated. Similarly, the Median List Price per square foot has increased by 1.0% to $578.84, reinforcing the trend of rising list prices.

The volume of Homes Sold has remained relatively stable, with a slight year-over-year decrease of 0.1%, totaling 981 homes. However, Pending Sales have increased by 3.5%, reaching 1,246, suggesting a potential uptick in future sales activity. New Listings have surged by 28.0%, with 2,137 homes entering the market, contributing to a substantial 47.0% increase in inventory, now at 2,701 homes. This influx of New Listings and increased inventory has resulted in a significant rise in the Months of Supply, which has grown by 90.0% to 2.8 months, indicating a shift towards a more balanced market.

The Median Days on Market have increased by 4.0% to 37 days, reflecting a slower pace of sales. The average sale to list ratio has slightly decreased by 0.5% to 101.0%, while the percentage of Homes Sold above list price has dropped by 7.9% to 41.3%. These metrics suggest that while homes are still selling close to their list prices, the competitive bidding environment may be cooling.

Price Drops have seen a minor decrease of 0.4%, now at 18.4%, indicating that sellers are adjusting their expectations in response to market conditions. Additionally, the percentage of homes going off the market in two weeks has decreased by 3.3% to 47.4%, further highlighting the shift towards a more tempered market pace.

Overall, the Oakland housing market is undergoing a period of adjustment, characterized by declining sales prices, rising list prices, and increased inventory. These changes suggest a move towards a more balanced market, with potential opportunities for buyers as sellers recalibrate their strategies in response to evolving market dynamics.