Riverside Metro Absorption Surges As Market Dynamics Shift

The Riverside-San Bernardino-Ontario metro housing market absorbed 1,011 homes during the week ending Nov. 7, 2025, while sellers added just 738 new listings, creating a 273-home weekly inventory drawdown. The gap between buyer demand and new supply comes as 35.3% of active listings have taken price cuts, signaling sellers are adapting to neutral market conditions where buyers have regained negotiating leverage.

The metro’s single-family home inventory stands at 12,039 properties with a median list price of $605,000, positioning the market 21% below California’s statewide median of $769,000. At $329.2 per square foot, Riverside homes trade at a 19% discount to the state’s $408.6 average, offering relative affordability in the Southern California market.

Inventory drawdown accelerates despite neutral conditions

Weekly absorption outpaced new listings by 273 homes, reducing available inventory even as the market maintains neutral conditions. The 3.0 months of supply sits slightly above the national average of 2.9 months, indicating balanced conditions between buyers and sellers.

Properties typically spend 70 days on market before going under contract, matching the statewide median. The 8.6% of listings that have been relisted remains below the 10% threshold that often signals weakening buyer competition.

Price adjustments reflect market recalibration

More than one-third of active listings have reduced their asking prices, with 35.3% taking cuts in the past week. This adjustment rate exceeds the typical 30-35% range seen in balanced markets. Meanwhile, 2.9% of sellers increased prices, suggesting pockets of stronger demand exist within the broader market.

The median list price of $605,000 represents a significant discount to both state and national benchmarks. Nationally, the median sits at $435,000, making Riverside 39% more expensive than the typical U.S. market despite its California discount.

Market positioning favors transaction velocity

The combination of below-state pricing and active buyer demand has created conditions supporting robust transaction volume. The 1,011 weekly absorptions demonstrate sustained buyer activity despite the prevalence of price reductions.

Riverside’s price per square foot of $329.2 exceeds the national average of $213.1 by 54%, reflecting California’s premium while remaining accessible relative to other state markets.

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