Housing Data Gives Buyers More Leverage

Lately, we’re seeing buyers in a stronger position—data from late Q3 shows about 21% of active listings had price cuts, and inventory has climbed to more than 1.16 million homes, now just 9% shy of pre-pandemic norms. While buyers remain selective (homes under contract are down 4% year-over-year for the second month), elevated mortgage costs are clearly shaping the landscape and stretching affordability. The national median list price sits at roughly $419K, falling 1% both month-over-month and year-over-year, with price per square foot down 2% from last year. Sellers aren’t flooding the exits—about 6% of listings were delisted, steady with last year—but more are adjusting their prices, creating real negotiation space. The big question: Will these additional price cuts entice more buyers to commit, or will we see this period of increased supply and softer demand continue? In Santa Barbara, my approach is all about uncovering the edge in every shift—whether you’re buying, selling, or simply watching for opportunity, strategy and timing are everything.