SACRAMENTO, CA (MPG) - June’s new home sales totals are another indication that the new home market in the greater Sacramento region has settled back into pre-pandemic patterns, the North State Building Industry Association reported July 7.

Tim Murphy, the BIA’s president and CEO, said a look at sales during the first two quarters puts the state of the market in clearer terms.

“This year, our members sold 3,016 homes between Jan. 1 and June 30, just one sale less than in 2020,” Murphy said. “Looking at the first half of the year over the past decade, this year’s sales, and last year’s, fall squarely within the range we saw from 2017 through 2020. The pandemic years stand out as the exception, with demand significantly higher than historical norms.”

During the month, BIA members sold 356 new homes across the eight-county region, down 25% from May but up 14% from June 2025. Sales were also 15% below the historical June average dating back to 1997.

Murphy said several factors have contributed to the market settling into a pre-pandemic pattern. One is that state government and many private sector companies are requiring employees to be back in the office more of the time, meaning the work-from-home surge is clearly over.

In addition, interest rates have edged higher and affordability remains constrained by the high fees charged by local governments and other regulatory requirements that increase costs and slow housing production.

Still, Murphy said that builders also continue to offer significant incentives to make new homes more affordable, and buyers currently have more opportunities to purchase completed homes or homes with shorter-than-usual move-in times.

During the month, Roseville led the region with 76 sales, followed by Sacramento (61), Rancho Cordova (38), Elk Grove (29) and Lincoln (22). Natomas came in sixth with 22, followed by Plumas Lake and Galt with 16 each and El Dorado Hills and Folsom with 14 each.

Sales were reported for 203 communities in Amador, El Dorado, Nevada, Placer, Sacramento, Sutter, Yolo and Yuba counties.