A new year in Danville, perspective from the trail
January Market Update: Looking Ahead with Clarity and Optimism
Insights from Team Bruno | Serving Danville & the Diablo Valley
The story of the 2025 real estate market across the Bay Area was one of momentum, interruption, and recovery. The year began with strong buyer demand, only to be slowed in early spring by rising political and economic uncertainty. By mid to late summer, however, the tone began to shift. Stock markets rebounded to new highs, interest rates started a sustained decline, and buyer and seller confidence gradually began to return, a reset in mindset that continues to unfold.
That recovery was not felt evenly. Higher-priced markets, fueled by affluent buyers benefiting from stock market gains, generally outperformed more affordable segments, where concerns about inflation, employment, and monthly carrying costs weighed more heavily on decision-making. It was a year that reminded us how closely real estate follows both financial realities and human psychology.
Much of this report looks back at annual data, helpful for context, but always a snapshot of a year defined by rapid change. By most measures, 2025 was somewhat cooler than 2024. And already, that chapter is closing.
As we step into 2026, the landscape looks notably different. Interest rates are near multi-year lows, stock markets remain strong, and early in the year we typically see buyers re-enter the market with renewed energy, often faster than new listings come online. That imbalance between rising demand and limited supply is what has historically made spring the most competitive season of the year. Last year’s momentum was disrupted by the tariff shock; barring new and unexpected economic headwinds, we expect a much more active and balanced spring ahead.
As always, real estate is local, personal, and timing matters. If you’re thinking about what 2026 could look like for you, whether that’s a move this spring or simply staying informed, we’re here to help you sort through the options with clarity and confidence.
January 2026 Diablo Valley Real Estate Report
Macroeconomic Factors & Indicators - January 2026
East Bay Home Price Map: Alameda & Contra Costa Counties
Have questions or want to talk through what this means for you? We’re just a call, text, or coffee away.
Take A Hike!
My family moved here in 1969. A lot has changed since then, but one thing that hasn’t is the Las Trampas Regional Wilderness. It’s my favorite place in the valley, and there really isn’t a close second.
I’ve logged about 1,500 hiking days over the last ten years. The sunrises are unreal, the spring wildflowers are spectacular, and every hike brings something different. We often go before sunrise and light our paths with headlamps. Some days it’s quiet and uneventful. On others, you might see wild pigs crashing through the brush or hear a pack of coyotes celebrating a successful hunt. It keeps you on your toes. The workout is great, the scenery is gorgeous, but the trail conversations make the hikes special - topics rotate, feelings are shared, friendships deepen.
Over time you start to recognize the regulars. There are nods, quick hellos, and easy conversations. Our group likes to say the hill rarely disappoints. After all these years, that still feels true.
Neighborhood Spotlight: Westside (Expanded)
The Westside is classic Danville living. Friday nights might mean a walk to Pete’s Brass Rail, Saturdays start at the Farmers’ Market, and bikes roll easily into downtown along Hartz Avenue. Big flat lots, updated ranchers, and custom homes define the area, all minutes from trails, shops, and some of the town’s best restaurants. Learn more about life in Westside (Expanded) →
Your real estate goals deserve expert attention. Whether it is right now or in the future, we are here to provide you the support and guidance you need.
Report created in good faith with data from sources deemed reliable but may contain errors and subject to revision. Statistics can be affected by a variety of factors and are best considered indicators of change rather than exact measurements. All numbers are approximate and may change with late-reported activity. Economic indicators can be volatile.
Statistics are generalities, essentially summaries of widely disparate data generated by dozens, hundreds or thousands of unique, individual sales occurring within different time periods. They are best seen not as precise measurements, but as broad, comparative indicators, with reasonable margins of error. Anomalous fluctuations in statistics are not uncommon, especially in smaller, expensive market segments. Last period data should be considered estimates that may change with late-reported data. Different analytics programs sometimes define statistics - such as "active listings," "days on market," and "months supply of inventory" -- differently: what is most meaningful are not specific calculations but the trends they illustrate. Most listing and sales data derives from the local or regional multi-listing service (MLS) of the area specified in the analysis, but not all listings or sales are reported to MLS and these won't be reflected in the data. "Homes" signifies real-property, single-household housing units: houses, condos, co-ops, townhouses, duets and TICs (but not mobile homes), as applicable to each market. City/town names refer specifically to the named cities and towns, or their MLS areas, unless otherwise delineated. Multicounty metro areas will be specified as such. Data from sources deemed reliable, but may contain errors and subject to revision. All numbers to be considered approximate.
Many aspects of value cannot be adequately reflected in median and average statistics: curb appeal, age, condition, amenities, views, lot size, quality of outdoor space, "bonus" rooms, additional parking, quality of location within the neighborhood, and so on. How any of these statistics apply to any particular home is unknown without a specific comparative market analysis.
Compass is a real estate broker licensed by the State of California operating under multiple entities. License Numbers 01991628, 1527235, 1527365, 1356742, 1443761, 1997075, 1935359, 1961027, 1842987, 1869607, 1866771, 1527205, 1079009, 1272467. All material is intended for informational purposes only and is compiled from sources deemed reliable but is subject to errors, omissions, changes in price, condition, sale, or withdrawal without notice. No statement is made as to the accuracy of any description or measurements (including square footage). This is not intended to solicit properties already listed. No financial or legal advice provided. Equal Housing Opportunity. Photos may be virtually staged or digitally enhanced and may not reflect actual property conditions.