10 California Cities Where Home Prices Are Surging in 2025

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Swaths of California are seeing housing prices drop, thanks largely to the combination of increased inventory and sky-high interest rates. Even markets that are typically somewhat immune to general trends and consistently robust — like Mountain View and San Diego — have softened over the past year. But there are still plenty of places in the Golden State where real estate prices are climbing. 

Consider the following 10 cities in California where home prices are surging. Most of these cities are already really expensive for housing, so even a seemingly modest increase in value can add well over $100,000 to a home’s price.   

10. Pasadena 

• Average home value in June 2025: $1,216,844
• Increase in value (percentage) year-over-year: 1.8%
• Increase in value (dollars) year-over-year: $21,516 

9. Bakersfield 

• Average home value in June 2025: $398,238 
• Increase in value (percentage) year-over-year: 2.0%
• Increase in value (dollars) year-over-year: $7,809

8. Torrance 

• Average home value in June 2025: $1,184,834
• Increase in value (percentage) year-over-year: 2.1%
• Increase in value (dollars) year-over-year: $24,370

7. Palo Alto  

• Average home value in June 2025: $3,576,394
• Increase in value (percentage) year-over-year: 2.2%
• Increase in value (dollars) year-over-year: $76,987 

6. Visalia 

• Average home value in June 2025: $395,417
• Increase in value (percentage) year-over-year: 2.3%
• Increase in value (dollars) year-over-year: $8,890  

5. Mission Viejo 

• Average home value in June 2025: $1,212,384
• Increase in value (percentage) year-over-year: 2.5%
• Increase in value (dollars) year-over-year: $29,570  

4. Dana Point

• Average home value in June 2025: $1,690,917 
• Increase in value (percentage) year-over-year: 3.6%
• Increase in value (dollars) year-over-year: $58,758  

3. Cupertino 

• Average home value in June 2025: $3,083,634
• Increase in value (percentage) year-over-year: 3.6%
• Increase in value (dollars) year-over-year: $111,011 

2. Newport Beach 

• Average home value in June 2025: $3,457,389
• Increase in value (percentage) year-over-year: 3.6%
• Increase in value (dollars) year-over-year: $120,141  

1. Saratoga 

• Average home value in June 2025: $4,024,743
• Increase in value (percentage) year-over-year: 4.4%
• Increase in value (dollars) year-over-year: $169,625  

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