Santa Cruz County Market Update – October 2022
Below is the Santa Cruz County Market Statistics for the month of October ’22. Here are the highlights:
– Active Inventory stayed virtually flat, decreasing .67% from September ’22 to October ‘22.
– The median SFH sales price increased to $1.35M from $1.20M the month prior. October ’22 median home price is up 19.47% from October ’21.
– Number of Sales decreased by 23.48% from September and is down 38.4% from October ’21.
– Days on Market in October ’21 was 26. Days on Market in October ’22 was 33.
The two themes in the October data are that prices are still up and new inventory is still historically low. Market activity is down significantly but the expectation and anticipation of a crashing market were vastly overstated. In fact, comparing this year’s median price to last, we are up 12.5%. Single-family new listings numbers in Santa Cruz County is on pace for its lowest number on record (data available going by to 2005). Dueling forces are leveling out prices and active inventory. Suppressed demand due to rates is producing downward pressure on pricing and upward pressure on available inventory. Compared to October ’21, October ’22 produced 38.4% fewer sales. The lack of new inventory is creating upward pressure on pricing and downward pressure on available inventory. New listings in October ’22 were down 11.8% compared to the same time last year. The October inflation report was better than anticipated and resulted in a .5% decrease in rates. If that continues, expect a significant uptick in activity on both the buyer and seller sides.