A master-planned community in San Mateo County, CA, Foster City is known for its distinctive and noteworthy architecture, extensive waterways, and numerous parks.
The city is also recognized for its strong sense of community and proximity to Silicon Valley, home to industry-leading companies like Apple, Google, Facebook, and Tesla.
With all this, it is no wonder that many home buyers are attracted to Foster City real estate. If you’re planning to own a home in this wonderful location, this article gives you all the things you need to know to help you make a decision.
Current State of the Housing Market
In Foster City, CA real estate, the average home value as of April 2025 is $1,931,795, up 2.5% over the past year.
The list price of homes for sale in Foster City ranges from $628,000 to $2.9 million. The median listing home price per square foot is $907.
Foster City, CA, is a seller’s market in April 2025. This means that there are more people looking to buy a home than there are properties available. On average, homes in Foster City sell after 24 days on the market.
Among the 10 neighborhoods in Foster City, Bay Vista is the most expensive, with a median listing home price of $2 million. On the other hand, Marina Point is the most affordable neighborhood, with a median listing home price of $844,000.
Over the past ten years, the annual appreciation rate for homes in Foster City averaged 0.48, higher than the state’s annual average appreciation rate of 0.06. On the national level, the annual appreciation rate for homes was an average of 0.13.
In the lease market, the monthly rent of homes in Foster City ranges between $2,000 and $12,000. The gross median rent in the city is $3,002, while the state median is $1,429, and the national median is $1,023.
What’s Driving the Real Estate Market in Foster City?
Economic and Employment Factors
A city’s economy significantly impacts its real estate market. A strong economy often leads to increased demand for housing and higher home prices, while a struggling economy can result in a decline in demand and lower home prices.
In Foster City, the median household income is $152,446, significantly higher than the state median of $71,228 and the US median of $60,293.
The average income per person in Foster City is also higher than the state and national averages, at $67,968. The state average is $35,021, and the national average is $35,672.
In terms of unemployment rate, the unemployment rate in Foster City is 3.5%, lower than the state’s unemployment rate of 6.7% and the nation’s rate of 5.9%.
Overall, the poverty rate in Foster City, CA, is 3.6%, significantly lower than the state’s total rate of poverty of 14.3%, and the country’s nationwide rate of 14.1%.
Tech Industry Influence
The city’s proximity to Silicon Valley which boasts a booming technology industry has sparked a demand for Foster City housing, pushing prices to heights.
With the rapid growth of technology companies, employees have greater capacity to afford homes in the sought after neighborhoods in Foster City. This surge has also resulted in a rise in luxury property developments.
The surge in demand and limited housing availability have led to an increase in prices, with buyers often outbidding others, driving up home prices.
Demographic Shifts and Migration Trends
An increase in in-migration often leads to higher housing demand, which may drive up property values and rental rates. Conversely, out-migration can lead to a surplus of housing and lower home prices.
These shifts also influence the type of housing in demand, such as single-family homes versus apartments.
Over the past ten years, the annual increase of the population in Foster City has averaged 1.51%. In comparison, the annual rate for the state was 0.76% and the national average was 0.69%.
Foster City has seen a total population growth rate of 13.57% during this period, while the state’s overall growth rate was 6.85%, and the national growth rate was 6.23%.
Top Neighborhoods Gaining Attention
Marina Point
Marina Point is more commonly referred to by locals as “The Ships,” because the streets in this neighborhood are named after ships or parts of ships. It is a waterfront neighborhood located on the outer ring of land surrounding the heart of Foster City.
The neighborhood is comprised of apartments, townhouses, and condos with relaxing views of the water, and single-family homes further inland surrounding Ketch Park.
As of April 2025, Marina Point is a seller’s market. This which means that there are more buyers than there are properties available. On average, homes in this neighborhood sell after 44 days on the market.
The median listing home price in Marina Point is $844,000, while the median listing home price per square foot is $699. The median sold home price is $895,000. Homes were sold for 1.87% above the asking price on average.
Treasure Isle
Treasure Isle lies at the heart of Foster City, right in the center of it all. The neighborhood offers a mix of residential, retail, and employment all within its borders, making it so convenient for residents to live, shop, and work all within walking distance.
For its residential sector, there are three distinct islands – Flying Cloud Isle, Flying Mist Isle, and Shooting Star Isle. All of the homes on these islands have direct waterfront access.
Homes and apartments without direct water access are only a short walk from Erckenbrack Park, which features a vast waterfront beach.
This popular neighborhood appeals to home buyers who can afford to buy a property in the median price range of $1.48 million. The median listing home price per square foot as of April 2025 is $873. The median home sold price is $1.6 million.
Treasure Isle is a balanced market, with both supply and demand of homes are about the same. Homes in the area sold for approximately the asking price on average. Homes typically sell after 26 days on the market.
The Islands
The Islands is an award-winning neighborhood that boasts stunning views of Central Lake. This location has more townhouses and condominiums than almost any other neighborhood in Foster City.
Most single-family homes in The Islands Built were built in the early 1970s with one or two stories, around 2,000 square feet of living space, and three to five bedrooms. Many of these homes feature wide water views. Waterfront homes along Coronado and Pizarro Lanes have private docks.
Homes for sale in The Islands cover a wide range of price points. A waterfront single-family property typically costs around $2 million. Condos and townhouses in the Winston Square complex run between $1.5 and $1.9 million.
The median listing home price in The Islands is $1.4 million, and the median listing home price per square foot is $956. Homes were sold for 11.38% above the asking price on average. Properties typically sell after 28 days on the market.
Conclusion
Foster City is coveted for it beautiful waterfront homes and strategic location, among many other factors that appeal to buyers, including its thriving economy and impressive appreciation rate.
If you would like to purchase a home in Foster City, CA, our team can assist you in finding the best property that suits your preferences and budget.
Please contact us today at (650) 629-9898 or email us at teamtapper@gmail.com to schedule an appointment.
Frequently Asked Questions
As of April 2025, Foster City, CA, is a seller’s market. This means that there are more people looking to buy a home than there are properties available. On average, homes in Foster City sell after 24 days on the market.
In Foster City, the average home value as of April 2025 is $1,931,795, up 2.5% over the past year.
Marina Point, Treasure Isle, and The Islands are some of the most popular neighborhoods in Foster City, CA.
