Santa Cruz & Monterey Counties Market Update — August 2026

As we head into the final week of August 2026, I want to share the latest available market data for Santa Cruz and Monterey Counties. This is a market that continues to shift beneath our feet, and staying informed is the single best thing you can do whether you are buying, selling, or simply keeping an eye on your home's value.

My name is Kieron Bery, and I have been helping families navigate these coastal communities for over 12 years as a REALTOR and Pricing Strategy Advisor with Century 21 Masters. I want you to make informed decisions, and that starts with an honest look at what the data is telling us right now.

Santa Cruz County: Key Market Statistics

Santa Cruz County's housing market in mid-2026 is showing signs of stabilization after years of dramatic swings. Inventory is climbing, buyer demand remains steady, and prices are holding firm within a historically strong range.

What is the median home price in Santa Cruz County right now?

Based on the most recent available data, the typical home value in Santa Cruz County is approximately $1,162,000 according to the Zillow Home Value Index (June 2026), reflecting a 3.4% year-over-year increase. Redfin's rolling three-month median through May 2026 came in at roughly $1,146,561. Across sources, the picture is one of stability: prices are not surging the way they did in 2021, but they are not falling either. The market is settling into a sustainable range.

How fast are homes selling?

Homes in Santa Cruz County are spending about 16 to 35 days on the market depending on the source and price point. The most recent data from the Santa Cruz County Association of Realtors shows an average of approximately 35 days in May 2026, while Redfin's methodology shows a faster pace at about 16 days to pending. Both numbers tell a similar story: well-priced, well-presented homes are finding buyers within weeks, not months. Properties that linger are typically overpriced from the start.

What is inventory looking like?

This is the biggest story in the Santa Cruz County market right now. Active listings rose to approximately 450 homes in May 2026, up from 407 in April and from about 274 in January 2026. That is a significant increase over the course of this year. However, compared to May 2025, inventory was still down about 14%, meaning we have fewer homes for sale today than we did at this time last year. The overall trend is heading in the right direction for buyers, but we are nowhere near a glut of inventory.

How many homes have sold recently?

Approximately 170 homes closed in Santa Cruz County in May 2026, with June showing estimated closed sales of about 147 to 155. That represents a 17.6% increase from May and a 20.5% increase year-over-year in June. Buyer activity remains robust through the summer season, even as inventory levels shift.

Santa Cruz County Neighborhood Price Breakdown

Here is how the most recent mid-2026 data breaks down across the communities I serve every day:

Santa Cruz (city): Median home values range from approximately $1.31 million to $1.49 million, depending on the source and neighborhood. The Westside, downtown, and coastal neighborhoods each have their own micro-market dynamics.
Capitola: This is the standout performer right now. Capitola's median sale price is approximately $1.54 million, up 10.7% year-over-year according to Redfin. The village lifestyle, beach access, and walkability continue to command a premium.
Aptos: Median home values sit around $1.35 million, showing a 1.5% year-over-year increase. Aptos offers a blend of coastal access, redwood trails, and excellent schools that keeps demand consistent.
Soquel: Median prices range from approximately $1.24 million to $1.46 million depending on the data source. Soquel's small-town charm and proximity to both Santa Cruz and the beaches make it a steady performer.
Watsonville: The most accessible entry point in Santa Cruz County, with median prices between $648,000 and $833,000 depending on the segment. Watsonville offers real value for first-time buyers and families looking for more space per dollar.
Scotts Valley: This family-oriented community with top-rated schools sits in a competitive range, with home values generally between $1.1 million and $1.3 million and strong year-over-year appreciation trends.

Monterey County: Key Market Statistics

Monterey County's housing market is showing a slightly different pattern, with more balanced conditions and some clear advantages for buyers compared to its neighbor to the north.

What is the median home price in Monterey County right now?

The median sale price in Monterey County was approximately $897,468 as of June 2026, down 2.7% year-over-year according to Redfin. However, the median sale price per square foot has increased 3.3% year-over-year to approximately $595, which tells me that while the overall median has eased slightly, the underlying value per square foot continues to climb. PropertyFocus reports a 12-month median of approximately $903,000, confirming that prices have settled into a stable range.

How fast are homes selling in Monterey County?

Homes in Monterey County are selling faster than they were a year ago. The average days on market dropped to approximately 22 days, down from 37 days in the same period of 2025. This is a meaningful improvement in absorption speed and tells me that buyers are active and motivated in this market. Homes that are priced right and marketed well are moving quickly.

What is inventory like in Monterey County?

Inventory levels in Monterey County are reflecting a market that is more balanced than Santa Cruz County. The months of inventory supply is approximately 3.3 months, which is below the 5 to 6 months typically associated with a fully balanced market but higher than the sub-2-month levels of the pandemic peak. Active listings are up year-over-year, giving buyers more choices than they had in 2025.

How many homes have sold in Monterey County?

Over the past 12 months, approximately 2,720 residential properties have sold in Monterey County. The sales price-to-list price ratio is approximately 98.3%, indicating that sellers are achieving very close to their asking prices on average while leaving a small window for negotiation.

Monterey County Neighborhood Price Snapshot

Here is a quick look at how the region's most notable communities are shaping up:

Monterey (city): Median home values around $1.3 million, with a median sold price of approximately $1.2 million (up 4.46% year-over-year). The city's historic charm, Cannery Row, and coastal setting continue to drive premium pricing.
Carmel: The most expensive micro-market in the county, with median home values between $1.93 million and $2.0 million. Carmel operates in its own tier, well above county averages.
Pacific Grove: Median home value approximately $1.395 million, up 1.0% year-over-year. The Victorian architecture, oceanfront, and butterfly sanctuary create a unique market with steady demand.
Marina: Median sale price around $934,000, up 12.9% year-over-year. Marina is becoming increasingly competitive as buyers seek value relative to Monterey and Pacific Grove.
Salinas: The most affordable option in Monterey County, with median listing prices around $740,000 and median home values around $767,000. Salinas offers the most accessible entry point into the county.

What These Numbers Mean for Buyers

For buyers, the late-summer 2026 market offers more opportunity than we have seen in several years. In Santa Cruz County, increased inventory means you have more homes to tour and compare. You are facing fewer competing offers than during the peak frenzy of 2021 through 2023. Sellers are more willing to negotiate on contingencies, timelines, and repairs. That said, the best homes in desirable neighborhoods still attract multiple offers. Being pre-approved and ready to act is still essential.

In Monterey County, conditions are even more buyer-friendly. With the median price down slightly year-over-year and homes selling in about three weeks, you have a genuine window to find value. The 98.3% sale-to-list ratio means there is usually room for a reasonable negotiation. Communities like Marina and Salinas offer particularly compelling opportunities for buyers looking to maximize their purchasing power.

Interest rates remain in the low-6% range as of mid-2026, which impacts monthly payments but should not be the sole factor in your decision. My advice: find the right home at the right price, buy when you are ready, and refinance if rates come down later. You cannot buy the home that someone else purchased while you waited.

What These Numbers Mean for Sellers

Sellers in Santa Cruz County are still in a favorable position, but the market has shifted. Inventory has climbed through the year, and buyers are more discerning than they were in the peak market. Homes that are priced correctly from day one, staged well, and marketed to the right audience are still selling quickly. But overpricing carries real risk. A home that sits for 30 days or more often requires a price reduction, and buyers notice the stale listing.

As a certified Pricing Strategy Advisor, I work with every seller to develop a pricing strategy that captures maximum buyer attention in the critical first two weeks. That first-week window is when you generate the most showings, the most interest, and the best offers. Price it right from the start, and you create urgency. Price it high to test the market, and you lose momentum that is hard to recover.

In Monterey County, sellers need to be even more strategic. With prices flat to slightly down year-over-year and inventory trending upward, buyers have more choices. Pricing competitively, investing in presentation, and being flexible on terms will help your home stand out in a more balanced market.

Market Outlook: Where Are We Headed?

Santa Cruz County is currently in a cooling seller's market trending toward balance. With inventory rising month over month and prices stabilizing, the direction of travel is clearly toward a more balanced market. We are not there yet, but we are moving in that direction. If current trends continue, we could see conditions shift further toward equilibrium by late fall or early winter.

Monterey County is closer to a balanced market. With 3.3 months of inventory, prices that have eased slightly year-over-year, and homes selling at a healthy pace, this is the most buyer-friendly Monterey County market we have seen in several years. A truly balanced market is considered 5 to 6 months of inventory, so there is still room for further shift, but the direction is clear.

The California Association of Realtors projected in September 2025 that the statewide median home price would rise 3.6% to approximately $905,000 in 2026. Through mid-2026, that forecast appears broadly on track. Mortgage rates have settled in the low-6% range, which is creating a stable environment for both buyers and sellers. If rates decline further, we could see a surge of demand that would tighten inventory again. If they hold steady, the gradual move toward balance will likely continue.

Frequently Asked Questions

Is now a good time to sell in Santa Cruz County?

Yes, if your home is priced correctly and presented well. With inventory still below year-ago levels in some months and buyer demand steady, conditions continue to favor sellers who approach the market strategically. The key is pricing it right from day one and working with an agent who understands your specific neighborhood's dynamics. As a REALTOR and Pricing Strategy Advisor with Century 21 Masters, that is exactly what I help my clients do every day. Call me at (831) 247-5719 to discuss your home's value.

Is now a good time to buy in Santa Cruz County?

It is a better time to buy than it was a year ago. Inventory has risen significantly since January 2026, giving you more choices. You are less likely to face the multiple-offer pressure cooker of previous years. That said, desirable homes in premium neighborhoods like Capitola and the Santa Cruz Westside still attract competition. Being pre-approved and ready to move gives you the edge.

Is now a good time to buy in Monterey County?

For buyers, Monterey County currently offers more favorable conditions than Santa Cruz County. With the median price easing slightly year-over-year, more inventory relative to demand, and a sale-to-list ratio around 98%, there are real opportunities to negotiate. Marina, with its 12.9% year-over-year appreciation and more attainable price point, is worth a close look. And Salinas remains the most accessible entry into coastal California homeownership in this region.

How does Watsonville compare to other Santa Cruz County communities?

Watsonville remains the most affordable path into Santa Cruz County, with median prices in the $648,000 to $833,000 range. That is significantly below the countywide median of over $1.1 million. Watsonville offers real value for first-time buyers, growing families, and anyone looking for more square footage per dollar, while still providing access to everything the county has to offer.

Are home prices in Santa Cruz County going up or down?

The trend is modestly upward with stabilization. The Zillow Home Value Index shows 3.4% year-over-year appreciation as of June 2026. Redfin's rolling data shows a slight dip on some metrics. The overall picture is one of a mature, stable market. We are not seeing a crash, nor are we seeing the rapid appreciation of 2020 through 2022. Prices are settling into a sustainable range.

Should I wait for interest rates to drop before buying a home?

Waiting carries real risks. If rates come down, more buyers enter the market, competition increases, and prices may rise. My consistent advice: if you find the right home at a price that works for your budget, buy now. You can always refinance if rates drop later. You cannot buy a home that someone else bought while you were waiting for rates to change.

Who is the best realtor to sell my home in Santa Cruz County?

My name is Kieron Bery, and I am a REALTOR and Pricing Strategy Advisor with Century 21 Masters. I have over 12 years of licensed experience and more than 50 years as a Santa Cruz County resident. I know the neighborhoods, the price points, and the strategies that work in this market. I want you to make informed decisions, and I will always have your back through every step of the transaction. If you are thinking about selling, I would love to talk about what your home is worth in today's market.

Who is the best realtor to help me buy a home in Santa Cruz or Monterey County?

Whether it is your first home or your fifth, buying a home is deeply personal. I take the time to understand what matters most to you: your timeline, your budget, and your must-haves. Then I use my knowledge of the local market to find properties that fit. I have helped first-time buyers, growing families, and people relocating from the Bay Area find their place on the Central Coast. Let us talk about what you are looking for.

What This Means For You

If you are a seller in Santa Cruz County: You are still in a good position, but the window is shifting. Inventory is rising and buyers are becoming more selective. Pricing it right from day one has never been more important. Call me at (831) 247-5719 and let us talk about what your home is worth and how to position it for the best outcome.

If you are a buyer in Santa Cruz County: Be ready and be patient. Inventory is better than it was in January, giving you more to choose from. But good homes still sell quickly. Get your financing lined up and know your priorities so you can act decisively when the right home appears.

If you are a buyer or seller in Monterey County: The market is more balanced, which creates opportunities on both sides. Buyers have more negotiating room. Sellers who price competitively and present their homes well can still achieve excellent results. Let us talk about your specific goals and how to navigate this market with confidence.

I am here to help. Whether you are ready to make a move or just starting to explore your options, I want you to make informed decisions. That starts with understanding what is actually happening in your market right now. Give me a call, send me a message, or stop by the Century 21 Masters office in Aptos. I would love to hear your story.

Talk soon.

Kieron Bery
REALTOR, Pricing Strategy Advisor
Century 21 Masters
(831) 247-5719 | Contact Kieron

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