Petaluma Housing Market Report – July 2026
Here's a look at how the Petaluma, CA real estate market performed in July 2026, based on actual sold data from the MLS.
Market Snapshot
- Homes Sold: 66
- Median Sale Price: $910,000
- Average Sale Price: $975,247
- Average Price Per Sq Ft: $555
- Average Days on Market: 51
- Sale-to-List Price Ratio: 101.8%
Month-Over-Month Trends
Compared to June, the median sale price in Petaluma moved 3.2% down (from $940,000 to $910,000). The number of homes sold was 1.5% down compared to the prior month (67 vs. 66). Average days on market shifted 4.1% up (49 days to 51 days).
Year-Over-Year Comparison
Compared to July 2025, the median sale price is 4.6% up (from $870,000 to $910,000). Sales volume is 3.1% up year-over-year.
What This Means
Petaluma's housing market is showing signs of cooling as we move through the summer months. While the median price of $910,000 remains solidly above last year's $870,000—a healthy 4.6% annual gain—the month-over-month decline of 3.2% suggests we're entering a seasonal slowdown. More telling is the uptick in days on market, now sitting at 51 days compared to 49 last month. This gradual lengthening indicates buyers are becoming more selective and homes aren't moving quite as quickly as they were earlier in the year.
The silver lining is that homes are still selling above asking, with a sale-to-list ratio of 101.8%, meaning sellers retain some negotiating power. However, the growing inventory of 126 active listings—up from typical recent months—gives buyers more options and leverage. The average price per square foot of $555 is reasonable for Sonoma County and reflects the area's strong fundamentals, but the slowdown we're seeing is likely a mix of summer seasonality and the lingering effects of higher interest rates on buyer purchasing power. For now, it's a balanced market favoring neither buyers nor sellers too dramatically, though the trend suggests patience is increasingly rewarded.
Petaluma Sales by Zip Code
| Zip Code | Homes Sold | Median Price | Avg $/SqFt | Avg DOM |
|---|---|---|---|---|
| 94954 | 40 | $821,250 | $487 | 41 |
| 94952 | 26 | $1,318,250 | $664 | 68 |
Sales by Property Type
| Property Type | Homes Sold | Median Price | Avg $/SqFt |
|---|---|---|---|
| SINGLE_FAMILY | 58 | $917,500 | $584 |
| MOBILE | 4 | $225,667 | $167 |
| CONDO | 1 | $685,000 | $421 |
| MULTI_FAMILY | 1 | $910,000 | $657 |
| OTHER | 1 | $1,397,000 | N/A |
| TOWNHOMES | 1 | $670,000 | $430 |
Sales by Price Range
| Price Range | Homes Sold |
|---|---|
| $100K - $199K | 2 |
| $200K - $299K | 1 |
| $300K - $399K | 1 |
| $500K - $749K | 11 |
| $750K+ | 51 |
Current Active Listings
As of this report, there are 126 active listings in Petaluma with a median asking price of $947,500 and an average of 100 days on market.
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