The Orange County real estate market is heating up, but not in the way you might think. More homes are hitting the market than we've seen in recent years, leading to increased competition among sellers. Currently, there are 3,033 homes for sale—56% more than this time last year and the highest mid-February inventory since 2020. After years of homeowners holding off on selling due to low mortgage rates, many are now realizing that high rates aren’t going away anytime soon. As a result, more sellers are deciding to list, making it crucial for homeowners to price their properties strategically.
For buyers, this shift means more choices. With inventory rising and demand remaining relatively stable, the market is moving at a slower pace. The Expected Market Time—the number of days it takes to sell a home at the current pace—has increased to 61 days, up from 42 last year. While this is still in line with pre-pandemic levels, it signals a market where buyers have more negotiating power, especially for homes that are overpriced or not in turnkey condition.
Sellers, on the other hand, need to be more strategic than ever. With competition increasing, simply listing at an aspirational price and waiting for offers may not work. Overpricing can lead to a home sitting on the market longer, ultimately forcing price reductions that could have been avoided with the right pricing strategy from the start. The key to success in this market is understanding current buyer demand, recent comparable sales, and making sure your home is in top showing condition.
As we head into the busy spring and summer selling seasons, inventory will continue to grow, adding even more choices for buyers and intensifying competition for sellers. If you’re thinking about making a move, now is the time to develop a strategy that aligns with market conditions. Whether you're buying or selling, I want to help educate you and protect you so that you make the best moves with one of your most valuable investments. Text or call me at 714-928-4682 and let's figure out your game plan.
