September 2026
Home Prices Show Some Softening as Buyers Become More Selective
As we head into fall, the Santa Cruz County real estate market continues to shift. Home prices have softened in recent months, inventory has increased, and buyers have more choices. For sellers, this means pricing and presentation are more important than ever.
Single-Family Homes: Prices Show Some Softening
The median sales price for single-family homes in September was $1.25 million, down from $1.35 million in August and $1.38 million in July. While that's a noticeable decline, prices remain slightly above September 2025, when the median was $1.23 million.
It's important to remember that monthly median prices can fluctuate depending on the types of homes sold and don't necessarily reflect an equivalent decline in individual property values.
Homes spent an average of 38 days on the market, compared to 46 days last September, showing that buyers are still active when they see good value.
Condos and Townhomes: A Softer Market
The median sales price for condos and townhomes was $697,000, down from $788,000 a year ago. Sales activity also slowed, with 26 properties sold compared to 39 last September.
What Does This Mean for Buyers and Sellers?
The biggest takeaway is that pricing matters more than ever. With more homes to choose from, buyers are increasingly selective about price, condition, and location. Homes priced competitively and presented well can still attract strong interest, while overpriced properties are more likely to sit on the market.
We're also seeing differences between neighborhoods and price ranges. Some areas continue to attract strong buyer activity, while others are moving more slowly. Understanding these local trends is especially important when determining the right pricing and marketing strategy.
Looking Ahead
As we approach the holiday season, real estate activity typically slows, but opportunities remain for both buyers and sellers. Mortgage rates continue to influence affordability, and buyers are paying close attention to value.
The bottom line? Santa Cruz County isn't one single real estate market. Conditions vary by neighborhood, price range, and property type, making local expertise and a thoughtful strategy especially valuable.
If you're considering buying or selling, or simply curious about what your home might be worth in today's market, I'm always happy to share what I'm seeing in your neighborhood.
