As November ended, the Santa Barbara and Montecito real estate markets continued to show strength, despite seasonal slowdowns and broader national uncertainty. While activity naturally slows as the holidays approach, demand for well-located and thoughtfully presented homes remains stable, especially in the coastal and luxury segments.
Low inventory continues to shape the market
Inventory in Santa Barbara and Montecito is still tightfloating around three months supply. In practical terms, this means sellers face limited competition and buyers must stay focused when quality homes come on the market. The imbalance continues to favor well-priced listings, particularly those that offer privacy, character or move-in-ready conditions.
Santa Barbara: quality still attracts attention
In Santa Barbara, turnkey homes and well-maintained properties remain the most active segment of the market. Buyers are quickly responding to homes that feel complete: updated systems, thoughtful design, and great curb appeal. Properties priced in line with market expectations continue to move efficiently, while properties for sale that exceed value have longer days on the market.
Condos and townhomes also remain popular, especially with buyers moving from outside the area or those looking for a second home near the coast. Overall, Santa Barbara continues to prize realistic pricing and solid presentation.
Montecito: selective, but active
Montecito’s luxury market remains more deliberate, but far from quiet. Buyers are taking time to evaluate options, but homes that offer square footage, ocean or mountain views, architectural pedigree or true privacy continue to attract strong interest.
While average terms have lengthened, top properties are still trading, often quietly and sometimes off the market. Discretion and preparation remain key for both buyers and sellers in this segment.
A market with strong buyers
One notable trend that continues into November is the strength of the buyer pool. Barely 40% of transactions are closed exclusively in cash.reinforcing that many buyers are well capitalized and ready to act when the right opportunity arises. For buyers, this underscores the importance of the decision. For sellers, it highlights the value of proper positioning when launching a property.
What does this mean for the new year?
November confirmed that Santa Barbara and Montecito remain highly desirable markets based on lifestyle, scarcity and long-term value. While we’re no longer in a frenzy, quality homes still move, and often quickly, when prices, conditions and location align.
Looking ahead to the new year, early preparation will be key. Sellers considering a move in 2026 benefit from planning now, and buyers who remain committed through the winter months often discover opportunities before spring competition returns.
Final thoughts
The November market reinforced an important truth: good houses don’t waitjust in calmer months. Whether you are considering selling, buying, or simply following market conditions, understanding these nuances makes all the difference.
If you’d like to get a more personalized view of how the current market affects your property (or access off-market opportunities), I’m always happy to connect.