
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.
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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
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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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This article originally appeared on GOBankingRates.com: 10 California Cities Where Home Prices Are Surging in 2025