Let’s get down to it. In June 2026, something neat happened: more homes were sold compared to the months before. This is a big deal! It means people are feeling more confident and are willing to jump into the market, even with interest rates still a bit higher than we’d all like.
This is the third month in a row that sales have gone up when we compare it to the same time last year. It’s the biggest jump we've seen in quite a while! It tells me that even though it’s not as easy as it used to be, people are still finding ways to make their homeownership dreams happen.
Now, about those prices. Remember when the median home price in California hit a record high of $930,260 in May 2026? Well, it’s come down a bit. In June, the statewide median home price was $904,640.
So, while prices aren't falling off a cliff, they're not shooting up at the same crazy speed anymore. This is good news for buyers who have been priced out. It means the market is starting to find a more stable spot. It’s not like prices are cheap, but it's a step in the right direction for many.
I think there are a few reasons why we're seeing these trends.
It's super important to remember that California is a huge state, and what's happening in one place might be different somewhere else. The C.A.R. report shows us this clearly:
As you can see, the Far North and Central Valley are seeing huge jumps in sales, probably because prices are more affordable there. Even the San Francisco Bay Area, known for its super high prices, saw sales increase! This shows that demand is pretty strong across the board, even if prices are very different.
FICO has unveiled a new credit analysis tool for mortgage professionals as it comes under scrutiny over potential price increases.
The FICO Score Mortgage Simulator allows lenders to see potential impacts on a borrower’s credit score through various simulated changes in their report data.
Changes like reduced credit card debt, paying off a loan, or deleting a collection account can be applied to produce the likely outcome on a borrower’s score. This way, brokers and lenders can help borrowers gauge what actions would help open up more loan options and better rates.
FICO says it will ultimately help more people qualify for mortgages, with the best product and best rates available to them.
“FICO is continuously working on innovative product offerings that can responsibly expand credit access to more people,” said Geoff Smith, VP and general manager of Consumer Scores at FICO. “Even a few additional points in a potential borrower’s FICO Score can have a material impact on the mortgage loan terms offered. Ultimately, the FICO Score Mortgage Simulator will prove to be a powerful tool that can enable more people to achieve the dream of homeownership.”
It is the only score simulator that uses FICO scores and the actual FICO algorithm. Verification fintech Xactus is the first company to bring this product to the market.
“The FICO Score Mortgage Simulator is an innovative new tool, and we are thrilled to be at the forefront of bringing it to the mortgage market. This tool brings a unique opportunity to allow both lenders and consumers to not only have a deeper understanding of FICO Score dynamics but provide a better experience and return for everyone,” said Shelley Leonard, President of Xactus.
FICO is a leading analytics software company best known for credit scoring. It’s recently come under fire for jacking prices, however. The industry has reacted strongly to rumors that the company will raise the price of a credit score from $3.50 to at least $5 next year.
A group of Congressional lawmakers sent a letter to President Joe Biden urging an investigation as to whether the company constitutes a monopoly, violating anti-trust laws.
FICO isn’t the only game in town for credit scoring, however. FormFree released the Residual Income Knowledge Index (RIKI), its alternative to the traditional credit score model, in October 2021.
RIKI uses bank and credit card statements procured directly from financial institutions to give lenders an understanding of a borrower’s discretionary funds after mandatory monthly expenses.
“What RIKI does is it looks at all the transactions, income and expenses, calculates income, identifies if it is consistent monthly income or if it is a one-off transfer, and then the lender can see that,” FormFree’s Chief Customer Officer Christy Moss told The Mortgage Note.
HousingWire recently highlighted RIKI as an example of an open banking framework that could transform the industry.