The Local Lowdown

Prices surge as the spring market hits its stride

May brought a genuinely encouraging shift to the East Bay... and it's one worth paying attention to. For the first time in well over a year, prices rose across the board in both counties and both property types. In Alameda County, the median single-family home sold for $1,390,000... up 2.96% year-over-year. Contra Costa County posted similar gains, with the median coming in at $922,500... up 2.50% compared to last year. Broad-based price growth like this, across an entire region, is a meaningful signal that buyer demand is healthy and holding firm.

Perhaps even more notable is what's happening in the condo market. Alameda County condos posted a 0.43% year-over-year gain to a median of $587,500... modest on the surface, but significant because it marks the first positive movement we've seen in that segment in quite some time. Contra Costa County condos had an even stronger showing, rising 6.92% to a median of $510,000. After several months of softening, seeing both counties turn positive at the same time feels like a real turning point... and it's worth watching closely as we head into summer.

Inventory crunch intensifies as buyers compete for limited options

We're in the heart of spring selling season... typically the time of year when inventory is at its most abundant. And yet the East Bay's supply picture remains remarkably tight. Single-family home inventory stood at just 2,621 units in May... down a staggering 27.38% compared to this time last year. That kind of decline during peak season is a strong indicator of just how imbalanced supply and demand really are right now.

The condo market is facing similar pressure, with inventory down 12.59% year-over-year to 965 units. When you pair limited supply with the broad-based price gains we saw this month, the story becomes clear... buyers are competing aggressively for a limited number of homes, and that competition is pushing values higher. Until we see a meaningful and sustained increase in new listings, that dynamic is going to continue defining this market.

Single-family homes are moving even faster than last year

The pace of sales in the East Bay's single-family market actually accelerated this month... which is saying something in a market that was already moving quickly. The average single-family home in both Alameda and Contra Costa Counties sold in just 13 days... a 7.14% improvement year-over-year in both counties. When homes across an entire region are consistently selling in under two weeks, it tells you that motivated, prepared buyers are out there and ready to act... and that well-priced homes are not sitting around waiting for attention.

The condo market is moving at a somewhat more measured pace, with Alameda County averaging 28 days and Contra Costa County coming in at 26 days. Those figures are slightly longer than last year, but still reasonable by historical standards. For condo buyers, a slightly longer timeline is actually an opportunity... it gives you a little more room to be thoughtful and deliberate in a market that rarely affords buyers that kind of breathing room.

Single-family homes remain a strong seller's market while condos favor buyers

One of the clearest ways to read a market is through Months of Supply Inventory, or MSI. California historically averages around three months... which is considered balanced. Below three months favors sellers. Above three months shifts the advantage toward buyers.

The East Bay's single-family market is firmly in seller's territory. Alameda County sits at just 1.9 months of supply... down 26.92% year-over-year. Contra Costa County is at 2.3 months... down 25.81%. Both declines are significant, and they reflect a market where competition among single-family buyers shows no signs of letting up. If you're purchasing in this segment, being prepared to move quickly and make a strong offer from the start isn't just good advice... it's a necessity.

The condo market continues to give buyers more room to work with. Alameda County ended May at 4.4 months of inventory and Contra Costa County at 4.2 months... both still in buyer's market territory. But here's what's worth noting... those figures have started to inch down from last month. The condo market may be beginning to tighten, which means the window of leverage buyers currently enjoy could be gradually narrowing. If a condo is on your radar in the East Bay, now is still a good time to take advantage of the balance that exists in that segment... while it lasts.

Bottom Line

The East Bay is sending some of the most encouraging signals we've seen in a while this May. Prices are up across the board for the first time in over a year, single-family homes are selling faster than last year, and inventory... while still critically low... is drawing serious buyer competition in both counties. The single-family market remains a seller's game, and that's not changing anytime soon with supply this constrained. The condo market is still the friendlier side for buyers right now, but even that advantage appears to be slowly shifting. Whether you're buying, selling, or just keeping a close eye on things... the East Bay this spring is a market that's worth paying attention to.

Local Lowdown Data