Orange County Market Update

As we move into the spring season, the Orange County real estate market is showing clear signs of transition. After several years defined by intense competition and fast-moving inventory, March brought a more balanced dynamic—one where both buyers and sellers are finding new footing.

While demand remains steady, an increase in available inventory and a more measured pace of sales are beginning to shift the conversation. The result is a market that still favors well-positioned sellers, but offers buyers more opportunity than they’ve had in recent years.

A Look at Pricing

Home values across Orange County remain strong, continuing to hover near record levels. The median home price in March reached approximately $1.3 million, reflecting an increase of about 4.9% compared to this time last year. At the same time, the median list price sits just slightly lower, around $1.26 million, indicating that sellers are becoming more strategic in how they enter the market.

While prices are still rising overall, the pace of appreciation has slowed. In some segments, particularly at higher price points, we’re seeing signs of stabilization and even slight adjustments. This isn’t a decline—it’s a normalization after years of rapid growth.

Homes Are Taking a Bit Longer to Sell

One of the most notable shifts this month is the change in days on market. The median time to sell a home in March was approximately 43 days, with averages ranging from 46 to 52 days depending on property type. Homes are still moving, but not at the breakneck speed we saw in prior years.

That said, not all price points are behaving the same. Homes under $2 million continue to move relatively quickly, often going pending in under 30 days. In contrast, the luxury segment—homes priced above $2 million—is experiencing longer timelines, often exceeding 50 days on market.

Compared to last year, homes are taking about five days longer to sell on average. It’s a subtle shift, but an important one. Buyers are taking more time, doing more due diligence, and weighing their options more carefully.

Inventory Is Rising

March also saw an increase in inventory, with approximately 5,000 active homes on the market and just over 2,000 new listings coming online during the month. This rise in inventory is one of the key factors contributing to the market’s shift.

Even with more homes available, demand remains healthy. About 75% of properties are still selling within 60 days, and only a small percentage linger on the market beyond 90 days. In other words, homes are selling—but pricing and presentation matter more than ever.

Buyers Are Gaining Leverage

With more choices and slightly longer timelines, buyers are beginning to regain some negotiating power. The median sale-to-list price ratio is holding at around 98.9%, meaning most homes are still selling close to asking—but not necessarily above it.

Roughly 29% of homes sold over asking price in March, while the majority—nearly 60%—closed below list price. This reflects a more nuanced market, where strong properties still generate competition, but overpricing is quickly met with resistance.

What This Means for the Market

The Orange County housing market in March can best be described as steady, resilient, and evolving.

We are no longer in a market where every listing sparks multiple offers within days. Instead, we’re seeing a more thoughtful pace—one where strategy, pricing, and positioning play a larger role in outcomes.

For sellers, this means the importance of entering the market correctly from day one. Pricing too high and “testing the market” is less effective in today’s environment. The homes that are selling quickly are the ones that are well-prepared, well-marketed, and aligned with current buyer expectations.

For buyers, this shift creates opportunity. With more inventory and less urgency, there is room to negotiate, explore options, and make more informed decisions without the same level of pressure.

The Bottom Line

March 2026 marks a continuation of Orange County’s transition into a more balanced market.

Prices remain strong, inventory is rising, and the pace of sales is becoming more measured. It’s not a slowdown—it’s a shift toward sustainability.

Well-priced homes are still selling quickly. Demand is still present. But success in this market—on both sides of the transaction—comes down to strategy, timing, and understanding the nuances of where things stand today.

And right now, the market is offering something we haven’t seen in a while: opportunity on both sides.