Santa Barbara Area Real Estate Report through December 2023 | Village Properties Realtors

Santa Barbara Area Market Report SANTA BARBARA AREA REAL ESTATE THROUGH DECEMBER 2023

featured property 777 ROMERO CANYON ROAD

DRE #01206734

777 ROMERO CANYON ROAD • click to view Exclusive Member of

Review in Numbers SOUTH SANTA BARBARA COUNTY DECEMBER 2023 YTD

TOTAL SALES

SINGLE FAMILY RESIDENCE SALES

CONDOMINIUM SALES

1,105

773

332

(-23% over 2022)

(-24% over 2022)

(-22% over 2022)

Hello!

Welcome and thank you for reading our 2023 Annual Market Report. Last year was another dynamic year in the Santa Barbara real estate market, with rising rates, limited inventory and pricing that came in slightly below 2022.

At Village Properties, we are proud to report we closed over $1.2 billion in sales volume last year, putting our cumulative total over $22 billion and 13,600 closed sales since we started the company in 1996.

As the region’s largest independent brokerage with almost 20% market share, last year we were involved in one of every five transactions. We are especially proud to highlight that our Agents were involved in 6 of the top 10 and 9 of the top 15 most expensive properties in our area last year.

We hope you find this report helpful. If you have any questions, or would like more specific information about your neighborhood or property, please feel free to contact us. The entire team at Village is committed to serving our community and we look forward to a great year ahead.

Best regards, Renee Grubb

Single Family SOUTH SANTA BARBARA COUNTY DECEMBER 2023 YTD

AVERAGE SALES PRICE • YTD

$3,196,512 -5% change from 2022

MEDIAN SALES PRICE • YTD

$2,100,000 0% change from 2022

777 ROMERO CANYO

ON ROAD • click to view

Condominium SOUTH SANTA BARBARA COUNTY DECEMBER 2023 YTD

AVERAGE SALES PRICE • YTD

$1,237,909 +3% change from 2022

MEDIAN SALES PRICE • YTD

$945,000 -1% change from 2022

Santa Barbara Area real estate market SOUTH SANTA BARBARA COUNTY · THROUGH DECEMBER 2023

INVENTORY Over the past five years, and especially the past three years, inventory has steadily declined.

There were 2,166 New Listings in the Santa Barbara MLS during 2023, down 15% from 2022, down 32% from 2021 (before the Fed started its rate hiking cycle), and down 37% from 2019 (pre-covid). Decreased inventory levels can generally be attributed to “would-be” sellers not placing their homes on the market due to the increased cost of financing on replacement properties. Those properties that do hit the market are due to changes in life circumstances, lifestyle, or moving out of the area.

At the same time, however, demand for our area is near insatiable. We can view this dynamic in the Absorption Rate metric, or also known as “Months of Supply”. In 2019, South Santa Barbara County averaged 4.5 Months of Supply. In other words, it would take 4.5 months to sell every home on the market at the current sales pace. With 6 months being the minimum to achieve supply/demand balance, our area was already undersupplied going into covid. At the depths of covid, we experienced averages of 1.1 months and 1.2 months in 2021 and 2022 respectively; or extreme levels of undersupply.

As the Fed continued its hiking cycle throughout 2023, home prices increased, coupled with other factors creating macro uncertainty around the world, demand softened somewhat, and our area now sits just below 2 months of supply.

ABSORPTION RATE (MONTHS OF SUPPLY)

SALES From 2014 - 2018, the number of Annual Sales lived in a very consistent range between 1,730 1,870 sales. In 2019, Annual Sales reached 1,935, and then in 2020 and 2021, they exceeded 2,100 and 2,200 sales respectively at the peak of the covid market. Due to the significant reduction in available inventory, higher prices, higher rates, amongst other factors, Annual Sales declined to ~1,450 sales in 2022 and just 1,100 sales in 2023, a 43% decline from 2019.

PRICING As a result of our long-term undersupplied market, pricing has appreciated substantially over the past five years. While the Median Price in 2023 at $1.7MM decreased slightly by 2% from the year prior ($1.74MM), Median Price is 65% higher than it was in 2019 ($1.03MM), an average increase of just over 12% per year.

Exclusive Member of

SALES VOLUME In 2019, the size of our market was just under $2.4 billion. During covid, due to price appreciation and higher sales, our market size peaked in 2021 at over $5.35 billion. Since then, as a result of limited inventory, sales volume has decreased over the past two years, to $2.8 billion in 2023, 6% lower than 2019.

Number of Sales v Median Price over the past 5 years SOUTH SANTA BARBARA COUNTY · HOMES & CONDOS

Carpinteria

3055 PADARO LANE • click to view

Exclusive Member of

Median Price v Sales over the past 5 years

TOTAL SALES

AVERAGE SALES PRICE

MEDIAN SALES PRICE

8

$1,438,125

$1,302,500

-88% change from 2022

+0% change from 2022

TOTAL SALES · YEAR TO DATE

TOTAL SALES · YEAR TO DATE

62

51

AVERAGE SALES PRICE · YTD

$2,990,051 MEDIAN SALES PRICE · YTD

$1,602,500

CONDOMINIUMS • YTD

SINGLE FAMILY RESIDENCES • YTD

DECEMBER 2023

AVERAGE SALES PRICE · YTD

$835,824 MEDIAN SALES PRICE · YTD

$782,000

Carpinteria

There were 8 sales in Carp in December at a Median Price of $1.3MM, both metrics on par with December 2022. The most notable sale in December was 7030 Shepard Mesa Rd for $4MM. On a Quarterly basis, the number of sales was down 35%, but Median Price rose 17% to $1.4MM compared to a year ago.

On an Annual basis, there were 113 sales in Carp in 2023, down 18% from 2022. Carp’s Annual Median Price of $1.1MM was 5% lower than 2022, but 46% above 2019 levels, or 9% higher per year on average over the 5 years.

The most expensive sale in Carp (and the South County overall) was an oceanfront estate on Padaro Ln for $46.9MM.

Exclusive Member of

3055 PADARO LA

ANE • click to view

Summerland

There were no sales in Summerland in December. There were just 2 sales in the Fourth Quarter at a skewed Average/ Median Price of $7.4MM due to the sale of 130 Montecito Ranch Ln $13MM (the most expensive sale of the year in Summerland).

On an Annual basis, there were 14 sales in 2023, down 26% from 2022. Even if you remove Montecito Ranch Ln and 2710 Montecito Ranch Ln ($11.5MM, closed in March) from the Median Price calculations, Median Price was 3% higher than 2022 and 84% higher than 2019, or 17% higher per year on average over those 5 years. Including those outliers, Median Price was 134% higher than 2019, or 27% higher per year on average.

Exclusive Member of

Summerland

2574 LILLIE AVENUE • recently sold

Exclusive Member of

Median Price v Sales over the past 5 years

DECEMBER 2023 TOTAL SALES

MEDIAN SALES PRICE

n/a

n/a

n/a change from 2022

n/a change from 2022

TOTAL SALES · YEAR TO DATE

TOTAL SALES · YEAR TO DATE

9

4

AVERAGE SALES PRICE · YTD

$5,208,794 MEDIAN SALES PRICE · YTD

$3,500,000

CONDOMINIUMS • YTD

SINGLE FAMILY RESIDENCES • YTD

0

AVERAGE SALES PRICE

AVERAGE SALES PRICE · YTD

$1,491,163 MEDIAN SALES PRICE · YTD

$1,638,125

Montecito

602 PARRA GRANDE LANE • click to view

Exclusive Member of

Median Price v Sales over the past 5 years

DECEMBER 2023 TOTAL SALES

AVERAGE SALES PRICE

10 $5,047,127

$4,485,000 -23% change from 2022

TOTAL SALES · YEAR TO DATE

TOTAL SALES · YEAR TO DATE

145

22

AVERAGE SALES PRICE · YTD

$6,547,476 MEDIAN SALES PRICE · YTD

$5,295,000

CONDOMINIUMS • YTD

SINGLE FAMILY RESIDENCES • YTD

-31% change from 2022

MEDIAN SALES PRICE

AVERAGE SALES PRICE · YTD

$3,139,977 MEDIAN SALES PRICE · YTD

$2,897,500

Montecito

There were 10 closed sales in December, down from 15 last December. The highest priced sales in December were 1975 Inverness Ln for $7.55MM and 930 Knollwood Dr for $11.5MM. On a Quarterly basis, there were 38 sales in the Fourth Quarter, up 31% from 4Q22. Median Price in the 4Q23 was $5.4MM, up 8% from the year prior.

When we take a longer term view, there were 163 sales in Montecito in 2023 at a Median Price of $5.1MM. The number of sales was down 22% from 2022, largely due to limited inventory, yet Median Price remained 3% above the prior year.

Compared to 2019 (pre covid), Median Price is up 72%, or 14% per year, two points higher than the overall South Santa Barbara County market average over the past five years.

The most expensive sales of the year were 319 San Ysidro Rd for $22MM and 550 Freehaven Dr for $20.35MM.

Exclusive Member of

602 PARRA GRAND

Santa Barbara

There were 35 closed sales in December, a 20% increase from December 2022. The most notable sale in December was 3105 Las Gaviotas for $8.75MM, which happens to be the most expensive sale in Santa Barbara proper this year, just edging out 20 Camino Verde ($8.5MM) which closed in April.

On a Quarterly basis, there were 117 sales in the Fourth Quarter, even with 4Q22. Median Price also remained flat from a year ago at $1.71MM. On an Annual basis, there were 505 sales in 2023, down 20% from 2022 and 41% from 2019. Median Price remained even with 2022 but was 57% higher than 2019, or 11.5% higher per year on average over those 5 years, slightly below the South County average.

E LANE • click to view

Exclusive Member of

Santa Barbara

326 W MICHELTORENA STREET • click to view

Exclusive Member of

Median Price v Sales over the past 5 years

TOTAL SALES

AVERAGE SALES PRICE

MEDIAN SALES PRICE

34

$1,956,107

$1,506,000

-3% change from 2022

-2% change from 2022

TOTAL SALES · YEAR TO DATE

TOTAL SALES · YEAR TO DATE

354

148

AVERAGE SALES PRICE · YTD

$2,314,133 MEDIAN SALES PRICE · YTD

$2,000,000

CONDOMINIUMS • YTD

SINGLE FAMILY RESIDENCES • YTD

DECEMBER 2023

AVERAGE SALES PRICE · YTD

$1,308,379 MEDIAN SALES PRICE · YTD

$1,117,500

Hope Ranch

767 LAS PALMAS DRIVE • click to view

Exclusive Member of

Median Price v Sales over the past 5 years

DECEMBER 2023 TOTAL SALES

n/a

MEDIAN SALES PRICE

n/a

n/a change from 2022

n/a change from 2022

TOTAL SALES · YEAR TO DATE

TOTAL SALES · YEAR TO DATE

20

n/a

AVERAGE SALES PRICE · YTD

$7,035,000 MEDIAN SALES PRICE · YTD

$5,737,500

CONDOMINIUMS • YTD

SINGLE FAMILY RESIDENCES • YTD

0

AVERAGE SALES PRICE

AVERAGE SALES PRICE · YTD

n/a MEDIAN SALES PRICE · YTD

n/a

Hope Ranch

There were no sales in Hope Ranch in December and only 3 in the Fourth Quarter, compared to 0 in 4Q22.

On an annual basis, there were 28 sales in Hope Ranch at a Median Price of $7MM. The number of sales was down 29% from 2022 and Median Pricing was down 12%. However, compared to 2019, Median Price was up 58%, or 11.5% per year on average over the 5 years.

The most expensive sales in Hope Ranch were 4689 Via Roblada for $13.5MM and 4630 Via Huerto for $12.8MM.

Exclusive Member of

767 LAS PALMAS D

DRIVE • click to view

Goleta

There were 24 sales in December, up from 21 in December of 2022. Median Price at $1.24MM was 13% higher than December 2022, with the most expensive sale being 1164 Camino Del Rio for $4.9MM. On a Quarterly basis, there were 68 sales in the Fourth Quarter, down from 78 in 4Q22 (-13%). Median Price in the Fourth Quarter was just under $1.3MM, or 7% higher than 4Q22.

On an Annual basis, there 290 sales in 2023, down 30% from the year prior. At $1.3MM, Median Price remained even from 2022, but 57% higher than 2019, or 11.5% higher per year on average over those 5 years.

The most expensive sales in Goleta were 1220 Franklin Ranch Rd for $8.5MM and 1150 N Fairview for $4.35MM.

Exclusive Member of

Goleta

5670 CATHEDRAL OAKS ROAD • click to view

Exclusive Member of

Median Price v Sales over the past 5 years

DECEMBER 2023 TOTAL SALES

AVERAGE SALES PRICE

24 $1,369,425

$1,240,000 +13% change from 2022

TOTAL SALES · YEAR TO DATE

TOTAL SALES · YEAR TO DATE

183

107

AVERAGE SALES PRICE · YTD

$1,799,749 MEDIAN SALES PRICE · YTD

$1,492,450

CONDOMINIUMS • YTD

SINGLE FAMILY RESIDENCES • YTD

+10% change from 2022

MEDIAN SALES PRICE

AVERAGE SALES PRICE · YTD

$931,538 MEDIAN SALES PRICE · YTD

$825,000

4199 TIMS ROAD • click to view Exclusive Member of

Santa Ynez Valley Review in Numbers SANTA YNEZ VALLEY DECEMBER 2023 YTD

TOTAL SALES

161 SINGLE FAMILY RESIDENCE SALES

138 (-29.3% over 2022)

CONDOMINIUM SALES

23 (-14.8% over 2022)

Single Family SANTA YNEZ VALLEY DECEMBER 2023 YTD

AVERAGE SALES PRICE • YTD

$2,061,156 +3% change from 2022

MEDIAN SALES PRICE • YTD

$1,496,077 -0.25% change from 2022

4199 TIMS ROA

AD • click to view

Condominium SANTA YNEZ VALLEY DECEMBER 2023 YTD

AVERAGE SALES PRICE • YTD

$618,913 -6.5% change from 2022

MEDIAN SALES PRICE • YTD

$600,000 -13% change from 2022

Buellton, Solvang & Ballard

2934 QUAIL VALLEY ROAD • click to view

Exclusive Member of

TOTAL SALES · YEAR TO DATE

TOTAL SALES · YEAR TO DATE

20

15

AVERAGE SALES PRICE · YTD

$980,605 MEDIAN SALES PRICE · YTD

$952,500

CONDOMINIUMS • YTD

SINGLE FAMILY RESIDENCES • YTD

Buellton

AVERAGE SALES PRICE · YTD

$653,533 MEDIAN SALES PRICE · YTD

$650,000

TOTAL SALES · YEAR TO DATE

TOTAL SALES · YEAR TO DATE

63

8

AVERAGE SALES PRICE · YTD

$1,979,818 MEDIAN SALES PRICE · YTD

$1,525,500

CONDOMINIUMS • YTD

SINGLE FAMILY RESIDENCES • YTD

Solvang and Ballard

AVERAGE SALES PRICE · YTD

$554,000 MEDIAN SALES PRICE · YTD

$546,000

Los Olivos & Santa Ynez

2610 ROUNDUP ROAD • click to view

Exclusive Member of

Los Olivos TOTAL SALES · YEAR TO DATE

SINGLE FAMILY RESIDENCES • YTD

8

Santa Ynez TOTAL SALES · YEAR TO DATE

SINGLE FAMILY RESIDENCES • YTD

47 AVERAGE SALES PRICE · YTD

$2,602,749 MEDIAN SALES PRICE · YTD

$2,000,000

AVERAGE SALES PRICE · YTD

$2,221,211 MEDIAN SALES PRICE · YTD

$2,062,500

2101 MOUNTAIN AVENUE, SANTA BARBARA • click to view Exclusive Member of

Global Connections “Our global partners ensure your home is seen by interested buyers across the world.”

RENEÉ GRUBB Founder & CEO We are fortunate to be in a place that people all over the world desire to be. We cultivate strategic global relationships that ultimately benefit you by putting your home in front of those people.

Data Source: Fidelity National Title & Chicago Title: INdata Market Reporting

MONTECITO 1250 Coast Village Road, Montecito, CA 93108 | 805.969.8900 SANTA BARBARA 1436 State Street, Santa Barbara, CA 93101 | 805.681.8800 SANTA YNEZ 3615 Sagunto Street, Santa Ynez, CA 93460 | 805.688.1620

All information provided is deemed reliable, but has not been verified & we do not guarantee it.

We recommend that buyers make their own inquiries. DRE #01206734. Data Source: Fidelity National Title & Chicago Title: INdata Market Reporting through December 2023.

Exclusive Member of