The San Diego Market Report: May 2026

By Michael N. Dullea May 5, 2026

The San Diego real estate landscape in May 2026 is defined by a significant "velocity gap". While general market headlines often paint a broad picture, the actual data reveals a hyper-local story where specific neighborhoods and property types are moving at vastly different speeds. For those navigating the South Bay—specifically Chula Vista and Bonita—understanding these nuances is the only way to make an educated move in a low-inventory environment.

The Inventory Crunch: A 35% Year-Over-Year Shift

The most critical data point for May is the drastic reduction in supply. Across the board, we are seeing a Year-Over-Year (YOY) collapse in inventory that keeps upward pressure on home values despite broader economic shifts.

• San Diego County: Currently sits at 2.2 months of supply, a 35.3% decrease from this time last year.

• Chula Vista: Even tighter at 2.0 months of supply, down 35.5% YOY.

• Bonita: Matches the county trend at 2.2 months, also down 35.3% YOY

Detached Market: Diverging Value Trends

According to the latest CRMLS data, the detached residential segment is showing divergent paths between the county average and our local South Bay pockets:

• San Diego County: The median price has climbed to $1,100,000, representing a +2.5% increase.

• Chula Vista: Continues to be a high-growth zone with a median price of $970,000, rising +4.3% year-over-year.

• Bonita: Currently seeing a localized correction with a median price of $1,325,000, representing a -15.9% decrease from last year’s highs.

Condos and Townhomes: The Chula Vista Surge

The attached market is where the most aggressive competition is currently occurring. While detached prices in Bonita have softened, Chula Vista townhomes have surged to a median of $700,000, an 8.5% year-over-year jump, while the broader San Diego County townhome median remained flat at $755,000. Bonita townhomes currently sit at a median of $799,000.

In the Condominium segment, Chula Vista has surged to a median of $610,000, a +9.4% year-over-year jump. Meanwhile, San Diego County condos have dipped slightly to $599,500 (-1.7%).

Strategic Perspective: Merging Data with Mortgage

When inventory drops by 35% in a single year, the "how" of financing is just as vital as the sticker price. Intelligence-driven buyers are currently focusing on the cost of capital. By utilizing specialized loan programs and creative financing, savvy participants are securing their place in the market while others wait for a "correction" that the inventory data simply doesn't support. At Dullea Brokerage, our goal is to bridge this gap, providing the financial clarity needed to act on these data-driven insights.

The Objective Outlook

Heading into the remainder of Q2 2026, we expect this supply-demand imbalance to continue protecting home values in the South Bay. The key to navigating this landscape is not just watching the prices, but understanding the inventory velocity and the YOY constriction shown in the data today.

Michael N. Dullea

Real Estate Agent & Marketing Specialist | Dullea Brokerage

CA DRE #02402448