San Mateo, California Housing Market

What stands out in San Mateo?

• Homes for sale are down 27% on last year: among the sharpest inventory declines of 765 tracked cities. Supply is shrinking, which shifts leverage to sellers.
• The typical listing has been on the market 31 days: among the shortest listing ages of 765 tracked cities. Few listings sit for long. Have financing ready before you look.
• The median household earns $166,548 a year: among the highest incomes of 765 tracked cities. Tenants can carry higher rents.

What does a shrinking population mean for San Mateo landlords?

The population in San Mateo's ZIP codes fell 2.2% over five years. 6.0% of homes are vacant, lower than most tracked cities. Households still grew 2.8% while the housing stock grew 2.8%. Fewer people living in more households means rental demand has held up better than the population suggests. Check vacancy by ZIP before you buy.

What is the fair market rent in San Mateo?

HUD sets one fair market rent for San Mateo County. For fiscal year 2026:

• 1 bedroom: $2,977 a month. Up 7% on last year, up 64% since FY2016.
• 2 bedrooms: $3,604 a month. Up 9% on last year, up 57% since FY2016.
• 3 bedrooms: $4,604 a month. Up 11% on last year, up 54% since FY2016.
• 4 bedrooms: $4,772 a month. Up 8% on last year, up 34% since FY2016.

The figures include tenant-paid utilities and apply to all of San Mateo County, so one home's rent can sit well above or below them. See fair market rent by city.

Who will rent from you in San Mateo?

In San Mateo, 49 out of every 100 households rent. That is nearly half. The renter share is growing. Five years ago it was 44 in 100. San Mateo added about 3,400 renter households in five years. Renter households average 2.5 people. Two and three bedrooms fit the typical renter.

The median San Mateo household earns $166,548 a year. Incomes here have grown 4.2% a year since 2019. Incomes are rising faster than home prices. Affordability is improving. A typical home costs 7.9 times the median income. Most locals cannot buy. That keeps rental demand deep. It also caps the rent they can pay. At 30% of income, a tenant on the median income can pay about $4,164 a month.

To see what one San Mateo address would rent for and cash flow, run it through the app.

How much can you negotiate in San Mateo?

For every 100 homes still for sale, 46 are under contract. In 2017–2019 at this time of year it was 98. The rest are still waiting for a buyer. Few sellers are dropping their price. Your discount will come from one stale listing.

The typical San Mateo listing has been on the market 31 days. That is 24% shorter than a year ago. There are 126 homes for sale in San Mateo. That is 3.5 times the tightest month on record, but below the peak of 193. Supply is shrinking against last year.

What to do about it

• Search San Mateo homes listed 60+ days ago that have already cut their price.
• Offer below the reduced price.
• Keep your inspection and financing contingencies.
• Ask the seller to pay closing costs.
• You can lose a few offers here and still win.

How does San Mateo compare with other California markets?

Ranked among the 141 California markets we track:

• Asking price: 24th priciest of 141. San Mateo is at $1,323,045. Closest: Fremont and San Ramon.
• Buyer competition: 38th most competitive of 138. San Mateo is at 0.46 buyers per home. Closest: Redwood City and Elk Grove.
• Time on market: 4th shortest time on market of 141. San Mateo is at a median of 31 days on market. Closest: Redwood City and Dublin.
• Price cuts: 5th fewest price cuts of 141. San Mateo is at 10% of sellers cutting. Closest: Perris and Rancho Mirage.

What numbers should you underwrite a San Mateo deal with?

• Price growth to assume — -0.5%/yr. San Mateo grew 1.7% a year over the decade. Ignore that rate. Most of it landed in the 2020 and 2021 boom. Without the boom, San Mateo loses about 0.5% a year. That is the number to type in. Prices fell 5.3% over the last year. Use it for timing. The five-year rate is the better guide.
• Odds you cut your price to sell — 1 in 10. 10% of San Mateo listings have cut their asking price. Underwrite your exit below asking.
• Competition when you exit — -27%. Homes for sale in San Mateo are down 27% on last year, so your resale faces less competition than today's comps did.

Read how population change affects rentals and how we read these numbers, then run the numbers on a deal.

What is the median home price in San Mateo?

The median asking price in San Mateo is about $1,323,000 as of Sep 2026, down 6.6% from a year ago. This is the asking price on homes listed for sale. Sites that report sold prices or estimated home values will show a different number. Our San Mateo figures cover the 5 ZIP codes with a San Mateo mailing address, which can reach past city limits.

Is San Mateo a buyer's or seller's market in 2026?

Buyers have more room in San Mateo than usual. We compare San Mateo with 2017–2019 at this time of year: there are 46 pending sales per 100 listings, against 98 then; the typical listing has been up 18% more days; there are 15% more homes for sale.

Are San Mateo home prices going up or down?

The median asking price is 16.3% below its Nov 2022 peak. Per square foot the gap is smaller: 9.0% below the Jul 2022 high. Part of the drop is smaller homes coming to market. Prices are still falling. Waiting has paid off so far. Let listings age, then come back lower.

What is the best month to buy a house in San Mateo?

Across 9 full years, San Mateo asking prices ran lowest in January, about 7.6% below the year's average. They peaked in September. The most homes for sale show up in October, about 26% above the yearly average.

What is the fair market rent in San Mateo?

HUD's fiscal year 2026 fair market rent for San Mateo County is $3,604 a month for 2 bedrooms and $4,604 for 3 bedrooms. The figures include tenant-paid utilities and cover the whole county.