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SGV & Foothill Cities Real Estate Market Update — 2025
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Market Report

SGV & Foothill Cities Real Estate Market Update — 2025

RG

The Rabadi Group

Ramzi & Christopher Rabadi · Agency 8 Real Estate Group

2025-04-01
6 min read

A comprehensive look at where the San Gabriel Valley and Foothill Cities real estate market stands in 2025 — inventory, prices, interest rate impact, and where the market is headed.

The San Gabriel Valley and Foothill Cities real estate market in 2025 is a tale of two conditions: thin inventory and persistent demand. The interest rate environment has cooled transaction volume relative to 2021–2022 peaks, but pricing has held and in several micro-markets has continued to rise. Here's what the data shows.

Foothill Cities Market Overview — 2025

CityMedian PriceYoY ChangeMonths SupplyDays on Market
La Verne$975K+6.2%1.8 mo18 days
Claremont$1.08M+5.4%2.1 mo22 days
San Dimas$885K+4.8%2.3 mo28 days
Glendora$960K+5.1%2.0 mo20 days
Upland$825K+4.2%2.6 mo31 days
Rancho Cucamonga$795K+3.9%2.8 mo34 days

Inventory: The Defining Factor

Every city in the Foothill corridor is operating below 3 months of supply — the traditional threshold between a buyer's and seller's market. La Verne and Glendora are at the most extreme end, with under 2 months of available inventory. This means the fundamental condition of the market is supply-constrained, which keeps upward pressure on prices even in a high-rate environment.

Why is inventory so tight? Two reasons. First, the 'rate lock-in effect' — homeowners who financed at 2.5–3.5% in 2020–2022 have no financial motivation to sell and take on a 6.5–7% mortgage on their next purchase. Second, the Foothill Cities have limited developable land. New construction is minimal. What supply exists comes almost entirely from resale.

Interest Rates and Affordability

The 30-year fixed rate averaging 6.5–7.0% in 2025 has meaningfully reduced buying power compared to 2021. A buyer with a $5,000/month housing budget could afford roughly $900K at 3.0% — and approximately $700K at 6.75%. That $200K gap has pushed some buyers out of La Verne and Claremont into San Dimas, Upland, and Rancho Cucamonga.

6.75%

Approximate 30-yr Fixed Rate

As of early 2025

~18%

Buyer Pool Reduction vs. 2021

Estimate based on affordability shift

+5.4%

Average Price Growth — Foothill Cities

Despite rate headwind

1.8 mo

La Verne Inventory

Lowest in the corridor

What This Means for Buyers

Expect to compete. Even with higher rates and reduced affordability, the supply constraint means that well-located, well-priced homes in La Verne, Claremont, and Glendora are still generating multiple offers. Buyers who are waiting for prices to fall significantly are likely to be disappointed — the fundamental supply problem doesn't resolve quickly.

What This Means for Sellers

The opportunity for sellers in 2025 is real but conditional. Homes that are well-priced and well-prepared are selling at or above list price with multiple offers. Homes that are overpriced or underprepared are sitting. The market is discerning — buyers are sophisticated and have limited budgets. Do not test the market with a fantasy price.

The Rabadi Group tracks these markets week by week. If you want a current read on what your specific property is worth or what you should expect as a buyer, call us directly. (626) 203-1372 — Ramzi or Christopher picks up.

RG

The Rabadi Group

Ramzi and Christopher Rabadi — father-and-son real estate team based in Claremont, CA. $100M+ in closed transactions, 20+ years in Southern California real estate, 5.0 Zillow rating.

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