US Metro Real Estate Intelligence
Rankings/Santa Rosa-Petaluma, CA

Santa Rosa-Petaluma, CA

Below AverageTier 1CBSA 42220Compare
Risk Rank: #244 of 287Month: 2025-12Score change (12m): +12
39score
Composite risk percentile vs 287 metros (higher = higher risk)

Cycle Phase

Santa Rosa experienced a market correction from early 2025 through early 2025. The market is currently recovering.

Recovery
Expansion
Hypersupply
Recession
In Recovery for 1 month·Previously: Hypersupply

Market conditions are rebuilding after a correction period

HypRecExpExpExpExpHypExpHypRessRec2019202020212022202320242025
Recovery
Expansion
Hypersupply
Recession

Santa Rosa's housing market shows below-average risk, ranking 244th of 287 metros. The market recently entered Recovery. Inventory is growing moderately (+11% YoY) with stable liquidity.

Executive Summary

Risk is Below Average, driven primarily by permit growth and employment. The market is in Recovery phase. Liquidity is stable and valuation is balanced.

Top Risk Drivers (This Month)

Permit Growth
p93 (highest risk decile)
YoY permit change
Employment
p48 (below average risk)
12-month employment change (risk inverted)
Permits per Capita
p43 (below average risk)
Permits per 1,000 residents

Market Signals

Inventory is growing at a moderate +11% pace with homes taking +14% longer to sell — within normal ranges.

Liquidity

Stable
Active Listings YoY
+10.6%p60
Days on Market YoY
+13.5%p73
Months in status1
Data through Dec 2025

Valuation

Balanced
Rent vs. Price Growth
+0.5%p72
Months in status15
Data through Dec 2025Rent growth vs price growth (rent support). Note: Affordability and Valuation measure different structural dimensions and can diverge.
Factor Details

Factor Breakdown

Price Momentum20

12-month HPI change — higher = overheating

Permit Growth93

YoY permit change — higher = supply pressure

Permits per Capita43

Permits per 1,000 residents — higher = overbuilding risk

Affordability15

Mortgage payment / income — higher = more burdened

Employment48

12-month employment change (risk inverted)

Migration13

Net AGI migration (risk inverted)

Underlying Values

MetricValuePctile
Price Momentum+0.5%p20
Permit Growth+49.0%p93
Permits/1K Pop3.38p43
Affordability0.23p15
Employment+0.3%p48
Net AGI Migration+$318Kp13
National ContextDoes not affect score

Credit Conditions

Credit Regime

Stable

Healthy recovery. Credit is flowing normally and transactions are steady — conditions favor continued rebuilding.

Bank Lending Standards
-5.7Normal
Rate Change (YoY)
-74 bpsNormal
Mortgage Risk Premium
+189 bpsElevated
Stable for 8 quartersData through 2026-Q1

Supply Pipeline

Supply Regime

Accumulating

Supply pipeline is building up while credit remains available. New units are accumulating in the system — watch for delivery pressure in coming quarters.

Pipeline Ratio
0.91High
Completion-Permit Divergence
-3.2 ppNormal
Accumulating for 3 quartersData through 2025-Q4
Local SignalsDoes not affect score

Metro Permit Activity

Permit Activity

Normal
YoY Permit Growth
+49.0%Within norm

Raw signal — not the composite percentile

Relative to 2016–2019 norms for this metro

Supply and demand are in equilibrium. No unusual activity on either side of the market.

Liquidity

Liquidity

Stable
Active Listings YoY+10.6%
Days on Market YoY+13.5%
AssessmentBalanced conditions
Stable for 1 monthData through Dec 2025
Internal Structure

County-level structural analysis.

County-level structural analysis is not available for this metro due to fewer than 3 qualifying counties.

Score History
MonthScore
2025-1121
2025-0921
2025-0624
2025-0329
2025-0126
2024-1227
2024-1029
2024-0740
2024-0628
2024-0424
2024-0325
2024-0226
2023-1228
2023-0923
2023-0629
2023-0429
2023-0226
2022-1223
2022-1124
2022-1020
2022-0821
2022-0516
2022-0217
2022-0116
2021-1114
2021-0916
2021-0719
2021-0623
2021-0421
2021-0130
2020-1130
2020-0931
2020-0730
2020-0428
2020-0321
2020-0122
2019-1230
2019-1028
2019-0731
2019-0533
2019-0235
2019-0134
Data Vintages
Price (HPI)2025-Q3
Permits2025-12
Income2024
Employment2025-12
Migration2022