Watsonville, CA—95076
Real Estate Data & Market Trends
Key Metrics at a Glance
Home Price Trends — Watsonville, CA
As of Oct '25, the median home price in Watsonville, CA is $821,000, with a year-over-year change of -1.2%. This indicates that home prices in Watsonville, CA are decreasing. According to Zillow, the 1-year price projection is 0.2%, suggesting a relatively flat housing market in the next year.
Cost per Home Type
| Home Type | Median Home Value | YoY % Change |
|---|---|---|
All Homes | $821,000 | -1.2% |
| Single Family | $825,000 | -1.0% |
| Condos | $652,000 | -5.1% |
Cost per Home Size
| Home Size | Median Home Value | YoY % Change |
|---|---|---|
1 Bed | $643,000 | -3.0% |
2 Bed | $649,000 | -2.8% |
3 Bed | $834,000 | -1.2% |
4 Bed | $949,000 | -0.6% |
| 5 Bed | $1,167,000 | -0.2% |
% of Housing Stock
Rental Trends — Watsonville, CA
As of July '25, Rentcast reports the average rent in Watsonville, CA is $3,470, with a year-over-year rent change of -4.9%. Per bedroom, the median rent as of July '25 in Watsonville, CA is studios: $1,780, 1-bedrooms: $2,200, 2-bedrooms: $3,100, 3-bedrooms: $4,910, 4-bedrooms: $4,790. The most common rental property sizes in Watsonville, CA are 2-bedroom and 3-bedroom, accounting for 38.3% and 31.1% of the rental stock.
| Type | Median Rent | Average Rent |
|---|---|---|
| Average Rent | $3,000 | $3,470 |
| Studio Rent | $1,550 | $1,780 |
| 1 Bed Rent | $2,200 | $2,200 |
| 2 Bed Rent | $2,950 | $3,100 |
| 3 Bed Rent | $4,000 | $4,910 |
| 4 Bed Rent | $4,480 | $4,790 |
% of Rental Stock
Property Listings — Watsonville, CA
As of Oct '25, Realtor.com reports that the median days on market for a home in Watsonville, CA is 71. This is a increase of 27.0% from last year, suggesting that homes are sitting on the market longer than last year. The percentage of listed homes with a reduced price is 22.0%, representing a small inventory and little supply pressure on home prices.
| Metric | Zip Code Average | Year over Year % Change |
|---|---|---|
Median Listing Price | $1,130,000 | -7.0% |
Listing Count | 134 | 29.0% |
| Listings as % of Homes | 0.2% | 29.0% |
Days on Market | 71 | 27.0% |
Demographics — Watsonville, CA
As of the latest ACS Survey released in 2023, Watsonville, CA has a population of 82,400, which has decreased by -5.0% over the past 5 years. Watsonville, CA is a popular place for families, as children make up 26.2% of the population. The area has a poorly educated workforce, with 19.3% of adult residents holding a bachelor’s degree or higher. There are few residents working remotely, with 7.7% reporting working from home.
| Metric | Latest Census | YoY % Change |
|---|---|---|
Population | 82,400 | -5.0% |
% Under 18 | 26.2% | -7.4% |
% Seniors | 15.5% | 43.5% |
% WFH | 7.7% | 75.0% |
% w/ College Degree | 19.3% | 9.7% |
As of the latest ACS Survey released in 2023, Watsonville, CA is a predominantly hispanic area, with 72.5% of the population identifying as hispanic. The hispanic population has grown by 2.3% in the last 5 years. The second most common race or ethnicity in Watsonville, CA is white, making up 22.5% of the population. Foreign-born residents account for 31.7% of the population in Watsonville, CA, and this percentage has decreased by 0.6% as of the ACS Survey 5 years prior, suggesting fewer immigrants are calling the area home.
Race and Ethnicity
| Metric | Latest Census | 5-Year % Change |
|---|---|---|
% White | 22.5% | -9.6% |
% Black | 0.6% | 50.0% |
% Hispanic | 72.5% | 2.3% |
% Asian | 2.3% | -4.2% |
% Foreign Born | 31.7% | -0.6% |
Mortgage and Risk — Watsonville, CA
According to HUD data as of 2023, there were 389 mortgage originations in Watsonville, CA, of which 91.0% of loans were conventional mortgages. The average loan-to-value was 51.0%, with 14.0% above 90% LTV (elevated). This implies medium mortgage risk in Watsonville, CA. Investor activity is low, as 4.0% of loans were by investors. 14.0% of loans were cash-out refinances, suggesting many homeowners are tapping equity.
Mortgages
| Metric | Zip Code Average |
|---|---|
Total Loan Originations | 389 |
% Conventional Loans | 91.0% |
% Government Loans | 9.0% |
% Investor Loans | 4.0% |
% Second Loans | 3.0% |
% Cash Out Refinance | 14.0% |
Loan Activity
Rentals and Section 8 — Watsonville, CA
As of 2024, the percent of homes in Watsonville, CA under the Section 8 program is 22.7%. This is considered high, suggesting that the neighborhood is heavily composed of Section 8 homes. Section 8 opportunity is good when HUD pays more than market rent. In Watsonville, CA, all tracked home sizes have HUD payment amounts above market rent, suggesting strong Section 8 opportunity across the board.
Section 8 Market Size
Total Units under HUD | 2,287 |
Total Units Section 8 | 2,271 |
% Rentals under Section 8 | 22.7% |
% Occupied Section 8 | 90.0% |
Section 8 Opportunity
| Home Size | HUD Premium | Market Rent | Max HUD Rent |
|---|---|---|---|
| 1 Bedroom | $580 | $2,200 | $2,780 |
| 2 Bedroom | $700 | $2,950 | $3,650 |
| 3 Bedroom | $500 | $4,000 | $4,500 |
| 4 Bedroom | $480 | $4,480 | $4,960 |
Affordability — Watsonville, CA
Home Price to Income Ratio
| Metric | Zip Code Average |
|---|---|
| Home Price to Income Ratio | 9.2 |
| Median Home Price | $821,000 |
| Median Household Income | $86,700 |