The California real estate market continues to shine, with three Golden State cities earning top spots in WalletHub’s 2025 study of the nation’s best real estate markets. Leading the way is Irvine in Orange County, which has been crowned the No. 1 large city real estate market in the United States.
With a population of approximately 307,000, Irvine also ranked as the third-best real estate market overall, regardless of population size.
The study highlighted several factors that give Irvine an edge in today’s competitive market:
Why Irvine Stands Out
Modern housing stock: Nearly 32% of homes in Irvine were built between 2010 and 2023, offering buyers the benefits of newer construction.
Affordable living expenses: Irvine ranked as the 11th-cheapest city for phone service and the 20th-cheapest for maintenance and energy costs.
Financial stability: With the 15th-lowest mortgage delinquency rate and the 16th-highest median credit score nationwide, Irvine residents demonstrate strong financial health and reliability.
This recognition adds to Irvine’s growing list of accolades. The city has previously been named the best place to live in California by Niche, and was ranked the third-happiest city in the United States in an earlier WalletHub study.
How WalletHub Determined the Rankings
WalletHub evaluated 300 U.S. cities across two dimensions:
Real Estate Market
Affordability & Economic Environment
A total of 17 metrics were considered, including home value forecasts, foreclosure rates, housing affordability, and building permit activity. Each city received an overall score based on its weighted performance across these categories. Cities were then grouped by size:
Large: Over 300,000 residents
Mid-size: 150,000–300,000 residents
Small: Under 150,000 residents
Other California Cities in the Top 10
California’s strength in the real estate market extends beyond Irvine, with two other cities earning recognition:
Roseville (Placer County): Ranked 10th among mid-sized cities and 20th overall. With an average home value of $653,330 (Zillow), Roseville is praised for its quality of life, safety, and variety of housing options within the Sacramento metro area.
Clovis (Fresno County): Earned the 5th-best ranking among small cities. With a median home value of $519,203 (Zillow), Clovis combines a small-town atmosphere with proximity to the Sierra Nevada mountains, making it one of the nation’s most desirable places to live.
California’s Real Estate Outlook
With Irvine leading the nation and cities like Roseville and Clovis also securing top spots, California continues to demonstrate its resilience and appeal in the real estate market. Factors like strong housing development, stable local economies, and high quality of life ensure that the Golden State remains a hotspot for both homebuyers and investors.
Source: WalletHub 2025 Study, Palm Springs Desert Sun (by Roseann Cattani), and Zillow data.
