T
he South Coast real estate market in Santa Barbara experienced a steady pace of sales and balanced pricing in 2024, despite a modest increase in new listings. With nearly 100 homes listed for sale each month on average, demand remained strong, driving prices up. The median sales price of single-family homes rose to $2,150,000, a 2.4% gain from the previous year.
Market velocity, measured by dividing active listings by properties in escrow, indicates a seller's market with just two months of inventory across the region. Carpinteria and Santa Barbara have extremely fast market velocities, with only 1.4 and 1.9 months of inventory respectively. Goleta follows closely behind, with 2.4 months of inventory.
The luxury property market in Montecito maintained its elite pricing, closing 2024 with a median sales price of $5,687,500, up from $5,460,000 the previous year. Some areas have seen remarkable growth over six years, with Montecito's median sales price increasing by 84.4% and Hope Ranch doubling its median sales price.
Condo prices also appreciated significantly, with a total growth of 77% over 10 years, ending the year at $995,000. The limited supply of condos resulted in high demand and rising prices. With just two months of inventory, the condo market remains competitive.
In today's market, well-priced homes are selling quickly, spending an average of 55 days on the market before selling for 96% of their asking price. The California Association of Realtors forecasts modest increases in median prices and sold properties in 2025, but regional factors may impact the local market.
Determining when to buy or sell is a complex decision influenced by lifestyle, neighborhood, future equity, and finance. With interest rates changing like seasons, it's essential to find the right home that fits your needs and budget. As the old wisdom goes, "Date the rate, marry the home!" For expert guidance on buying and selling property in Santa Barbara, consult with a local Realtor for up-to-date information and neighborhood insights.
