Santa Barbara Real Estate Market Update For November 2021

November 2021 Market Update

Why is this Fall different than the rest?

It is really common for real estate markets to slow down in the Fall, especially after a very busy, very active Summer. So, why is this Fall different than the rest? It is true that the market has slowed down–in October we saw fewer homes go on the market and fewer homes sell than in previous months. Indeed, compared to October 2020, which at the time we considered to be a very strong sellers’ market, home sales are down 29%. In the luxury markets of Hope Ranch and Montecito, home sales were down 58% compared to last October. And yet, home prices have remained, on average, as high as they were through the summer months. The year-to-date median for the month of October is 25% higher than it was in October 2020!

Let’s take a closer look: based on the statistics provided by the Santa Barbara MLS, October’s months of inventory was .98. In other words, based on how quickly homes are currently selling and how many are on the market, there would be no inventory left in Santa Barbara in less than a month. What does this tell us? Well, it essentially shows us that while sales are technically down, it’s likely slowing down simply because there are not enough homes for all of the active, qualified buyers to buy.

So, what does this mean for you? If you own a home and have thought at all about selling, we encourage you to reach out to your Zia Group realtor partner to provide you with an updated home valuation based on thorough market research and to discuss your options. If you’re hesitant because you don’t want to compete to buy a new home in Santa Barbara, we want to ensure you understand all of your options to make the best decision for you and your family–whether that is to sell and buy now, or to wait!

And if you are currently looking to buy a home and find all of this information discouraging, we want to encourage you that if now is the right time for you to buy a home, then now is the right time! Zia Group regularly represents more buyers (and sellers) than any other agent or team in Santa Barbara. This means we have an accumulation of market knowledge and proprietary negotiating strategies that we can put to work for you. Not only this, but we are committed to seeking out every opportunity to find you your dream home, even when inventory is low and selective. Call your Zia Group realtor partner today to discuss how you can be prepared to find and win your dream home!