🏠 Solano County Real Estate Market – June 2025 Update

Welcome to our June 2025 Solano County real estate market update! Whether you're a buyer, seller, or investor, you should check out this breakdown of the latest trends, pricing, inventory, and key insights to help you navigate this dynamic market with confidence.

Market Snapshot & Pricing Trends

The Solano County housing market remains steady, with median home prices hovering between $579,500 and $585,000 in May 2025, reflecting a modest year-over-year (YoY) increase of about 0.9% from $579,500 in May 2024. Zillow reports a slightly higher average home value of $587,800, up 0.8% annually, while Redfin noted a $585,000 median in February 2025, a 1.7% YoY rise.

Homes are taking longer to sell compared to last year, with an average of 46 days on the market in February, signaling a slight cooling in demand but still a relatively brisk pace for sales.

Inventory & Sales Volume

Inventory is expanding, offering buyers more choices. In May 2025, Solano County had 1,051 homes for sale, a 11.5% increase from April’s figures. However, sales volume has softened slightly, with 218 homes sold or pending in May, down 2.7% from 224 in April. Earlier data from February showed a stronger 283 homes sold, up from 247 the previous year, reflecting seasonal fluctuations.

This growing inventory suggests a shift toward a more balanced market, giving buyers a bit more leverage while sellers still benefit from steady demand.

Days-on-Market & Buyer Advantage

Homes are selling faster than last year, with the average days on market dropping to 41 days in May 2025, a 22% reduction from 52 days in May 2024. However, only 1% of homes sold in under 30 days, 2% between 30–90 days, and none lingered beyond 90 days, indicating a market where well-priced homes move quickly.

Buyers are gaining some negotiating power: 40% of homes sold below asking price, 20% at asking, and 39% above asking in May, suggesting opportunities for budget-conscious buyers to secure deals.

Regional Variations & Housing Types

The median price per square foot in Solano County ranges from $346 to $352, reflecting stable but varied value across the region. Price trends by bedroom type in May 2025 show mixed performance:

• 1-bedroom: Down 1.1%

• 2-bedroom: Down 3.2%

• 3-bedroom: Up 1.2%

• 4-bedroom: Up 0.5%

• 5-bedroom: Down 4.8%

City-specific median prices highlight regional diversity:

• Vacaville: ~$640,000

• Fairfield: ~$622,000

• Vallejo: ~$529,000

• Rio Vista: ~$478,000

• Benicia: ~$799,000

These variations reflect local demand, with Benicia commanding premium prices and Vallejo and Rio Vista offering more affordable entry points.

Key Market Drivers

Several factors are shaping Solano County’s market:

• Increased Inventory: The rise to 1,051 listings has eased competition, giving buyers more room to negotiate.

• High Mortgage Rates: Rates around 6.7% for a 30-year fixed mortgage continue to strain affordability, slowing some buyer activity.

• Affordability Challenges: The “low-income” threshold in Solano County jumped from $51,800 to $76,950, underscoring growing cost pressures for many residents.

• California Forever Project: Ambitious plans for a new 400,000-resident city could reshape future supply but face significant environmental and zoning hurdles.

These drivers create a nuanced market where strategic timing and financing are critical for both buyers and sellers.

Forecast & Outlook

Looking ahead, here’s what to expect in Solano County’s real estate market:

• Prices: Modest growth of 1–3% is likely through 2025, building on year-to-date gains.

• Inventory: Expect continued expansion, creating a more balanced market and easing seller pressure.

• Mortgage Rates: Potential rate dips later in 2025 could spur buyer interest, though high rates may persist into year-end.

• Regional Divergence: Fairfield may see stronger price gains, while Vallejo and Rio Vista could remain value-oriented markets for buyers.

🎯 What Buyers & Sellers Should Know

Buyers

• Better Deals Emerging: With 40% of homes selling below asking in May, budget-conscious buyers have opportunities to negotiate.

• Financing Strategy: Lock in rates quickly as fluctuations around 6.7% can impact affordability.

• Affordable Areas: Focus on sub-$600,000 markets like Vallejo and Rio Vista for solid deals.

  
  

Sellers

• Shifting Dynamics: The market is transitioning from urgent to balanced. Homes sell in 1–2 months, but pricing finesse is key.

• Preparation Pays Off: Staging, competitive pricing, and listing in peak seasons (spring/summer) can maximize returns.

• Target Growth Zones: Fairfield and Benicia show strong demand; time listings for high-traffic market windows.

  
  

🧭 Final Takeaways

Solano County’s real estate market in mid-2025 is defined by steady but modest price growth, expanding inventory, and faster sales timelines, signaling a gradual shift toward balance. High mortgage rates and affordability pressures remain challenges, but opportunities abound for prepared buyers and sellers. Whether you’re eyeing a deal in Vallejo or listing in Benicia, market-informed strategies and flexibility will drive success.

Want a deeper dive into a specific city, housing type, or investment angle? Contact us for a tailored analysis!