Novato Housing Market & Real Estate Update: Rates Dip Under 6%, Inventory Steady
Novato, CA – February 26, 2026 – Mortgage rates slipped under 6% while local prices stayed elevated; buyers are seeing moderate inventory and longer timelines.
The biggest near-term swing factor for buyers and sellers is financing. Mortgage rates moved lower this week, which can change monthly payments quickly even if list prices don’t budge much in the short run.
Top takeaways
- Freddie Mac’s weekly average 30-year fixed rate was 5.98% (Feb. 26, 2026), just under the 6% mark.
- Redfin shows a January 2026 median sale price around $978K, with homes taking about 53 days to sell on average.
- Zillow’s typical home value was about $1.024M (data through Jan. 31, 2026) and it reported 95 homes in for-sale inventory.
Market snapshot
With pricing still elevated, the pace looks steady rather than frantic. Redfin logged 16 closed sales in January, and its “somewhat competitive” score suggests a familiar pattern: homes that are priced correctly and presented well can still move faster than the average timeline, while listings that miss the mark may sit longer before finding traction.
For shoppers, the combination of a sub-6% weekly mortgage rate print and a market that isn’t racing can create more room for due diligence—reviewing disclosures, verifying condition items, and comparing recent comps—without feeling forced into every-offer-is-now dynamics.
What’s for sale right now
- Redfin’s live search showed about 71 homes for sale, ranging from entry-level 55+ options around $350K to larger single-family listings above $2.5M.
- On the rental side, Zillow pegged average rent near $3,635 (Jan. 31, 2026), pointing to continued pressure in the rental market.
Watch for how quickly new listings attract showings and whether price cuts become more common—both can signal how much buyers are responding to the rate move versus holding out for even better terms.