Unlocking May’s Real Estate Insights: Your Santa Barbara Market Recap

Santa Barbara’s housing market remains healthy, with an increasing number of properties available for sale.

The Santa Barbara South Coast housing market is seeing a meaningful shift — one that brings more opportunity, better balance, and ongoing activity. Whether you're planning a move or simply keeping a pulse on local trends, here's a data-backed look at what’s happening — and what it could mean for you.

1. More Movement in the Market

Buyer activity is gaining momentum. 94 homes sold last month, representing a 14% increase over the same period last year. Alongside that, 103 homes went under contract, up 15%, indicating a healthy level of engagement from serious buyers. What’s even more telling: 152 new listings came to market — a 30% year-over-year jump — giving buyers more to choose from and creating stronger competition among sellers.

2. Inventory is Growing — But So is Urgency

We’re now seeing 274 homes available, a 35% increase in active inventory compared to last year. This growing selection benefits buyers, yet the market still moves quickly. The median days on market is just 13, which is 8% fasterthan last year. Well-prepared homes are still moving swiftly — especially when they’re priced thoughtfully and presented well.

3. Prices Have Shifted — But Context Matters

The median sale price last month was $2,137,500, reflecting a 15% decrease compared to last year. This doesn’t necessarily mean home values are falling — rather, fewer high-end sales occurred in this cycle, likely due to broader economic factors. Buyers are leaning into affordability, and the demand remains strong at more attainable price points.

4. Pricing & Negotiation Require Precision

The sold-to-list price ratio was 96.91%, just 1% lower than last year. This indicates that buyers are negotiating slightly more, but well-priced homes are still commanding strong offers. It’s important to remember that a listing price is a strategy — not a fixed value. As I often say: you can’t underprice a well-marketed home — the market will bring it to where it needs to be.

Final Thought: Clarity and Confidence in a Dynamic Market

As we move further into the year, Santa Barbara’s housing market remains active and increasingly balanced. If you're wondering how these changes impact your own plans — whether now or down the road — I'm here to provide insight that aligns with your goals and comfort level. Let's explore what makes the most sense for you.