The decision to purchase real estate or to place your home for sale in the Santa Barbara real estate market can be one of the biggest you and your family will make at any given time. This decision can be made easier if you are adequately informed about the buying and selling process, the local real estate market and the neighborhoods and communities in which you are interested. As a local real estate professional with more than thirty years of experience helping buyers and sellers just like you, it would be my great pleasure to introduce you to the Santa Barbara Real Estate Services I offer to both buyers and sellers.
For sake of simplicity, buying a home is a three-step process: finding the right community, finding the right home and negotiating the best contract terms. For your convenience, I have compiled a wealth of information on local communities and their real estate trends as well as provided you access to the search the entire Santa Barbara MLS to view available properties. Once we have narrowed down the ideal community and the right home, I will use my many years of experience and expertise and my Santa Barbara Real Estate Services to negotiate the contract terms to suit your needs and to exceed your expectations.
For sellers, I believe you will find my commitment to untiring communication and service, masterful marketing and negotiation skills to be most refreshing. Resulting from years of extensive experience and research, a superior ability to anticipate problems and solve them and unsurpassed ethics and professionalism, you will find these qualities will help your home sell quickly and for its highest dollar.
Whether you are moving across town or across the country, it would be my great pleasure to assist you with all your housing needs and to share my Santa Barbara Real Estate Services with you and your family. Please feel free to browse my Santa Barbara Home Buying and Selling Tips at your leisure and do not hesitate to contact me, Stan Tabler at your convenience. I look forward to hearing from you soon and assisting you with all your real estate goals, big and small.
Santa Barbara South Coast Real Estate Update
October 15, 2026
According to data from the County Recorder’s Office as reported by Fidelity National Title, the number of residential property sales on the Santa Barbara South Coast increased by 9% in September 2026, with 123 sales as compared with September 2025. Of these 123 sales, there were 97 House or Planned Unit Development (PUD) sales, up from 80 in September 2025; the median sale price of these House/PUD sales was $2,066,000, down 12% from 2025, and the average sale price was $2,876,137, down 10% from 2025. Of these 123 sales, there were 26 Condominium sales in September 2026, down from 33 in 2025; the median sale price of these Condominium sales was $1,185,000, the same as in 2025, and the average sale price was $1,995,769, up 18% from 2025.
Regional Highlights
Carpinteria had 10 residential sales reported in September 2026, down from 12 in August. There were 5 House/PUD sales, the same as in August; the median sales price of these House/PUD sales was $2,100,000, and the average price was $2,343,600. There were 5 Condominium sales, down from 7 in August; the median sale price of these Condominium sales was $850,000, and the average sale price was $844,000. In September 2026, the lowest-priced Carpinteria sale was a Condominium on Franciscan Court @ $790,000, and the highest-priced sale was a House on Shepard Mesa Lane @ $3,550,000.
Summerland had no residential sales reported in September 2026, down from 2 in August.
Montecito had 20 residential sales reported in September 2026, down from 21 in August. There were 15 House/PUD sales, down from 19 in August; the median sales price of these House/PUD sales was $4,795,000, and the average price was $6,778,000. There were 5 Condominium sales, up from 2 in August; the median sales price of these Condominium sales was $5,525,000, and the average price was $5,000,000. In September 2026, the lowest-priced Montecito sale was a House on Westmont Road @ $2,650,000, and the highest-priced sale was an Estate on East Mountain Drive @ $19,500,000.
Santa Barbara had 61 residential sales reported in September 2026, up from 54 in August. There were 50 House/PUD sales, up from 38 in August; the median sales price of these House/PUD sales was $1,990,000, and the average price was $2,272,819. There were 11 Condominium sales, down from 16 in August; the median sale price of these Condominium sales was $1,210,000, and the average sale price was $1,463,455. In September 2026, the lowest-priced Santa Barbara sale was a Condominium on Rebecca Lane @ $860,000, and the highest-priced sale was a bluff-front House on Shoreline Drive @ $10,500,000.
Hope Ranch had no residential sales reported in September 2026, down from 2 in August.
Goleta had 32 residential sales reported in September 2026, down from 41 in August. There were 27 House/PUD sales, down from 33 in August; the median sale price of these House/PUD sales was $1,665,000, and the average price was $1,924,309. There were 5 Condominium sales, down from 8 in August; the median sale price of these Condominium sales was $1,160,000, and the average sale price was $1,106,400. In 2026, the lowest-priced Goleta sale was a Condominium on North Fairview Avenue @ $775,000, and the highest-priced sale was a House on Via Los Padres @ $3,800,000.
Analysis
As of October 1st in the Santa Barbara Multiple Listing Service (MLS), there were 216 available House/PUD listings (down from 217 on September 1st) and 73 available Condominium listings (up from 65 on September 1st) along the Santa Barbara South Coast. Ten years ago on September 1st 2016 there were 422 available House/PUD listings, 49% more than in 2026 and 138 available Condominium listings, 47% more than in 2026! Compare our current low inventory levels to the years 2007 through 2011, when the total number of available listings that Buyers could choose from fluctuated between 734 and 1,026. The highest number of available listings along the Santa Barbara South Coast was recorded in June 1992, when there were an amazing 1,297 available!
While the number of days that listings stay on the market before entering escrow has risen and the competition among Buyers creating bidding wars has diminished a bit, it has not totally disappeared. According to the MLS sales data, there were a total of 115 residential sales in September on the South Coast of Santa Barbara County, down from 122 in August. The County Recorder reported 123 total sales in August, indicating that there were 7 private sales that did not register in the MLS. Of the 115 MLS sales, 23% closed above the original asking price, 10% closed at the original asking price, and 67% closed for less than the original asking price. After analyzing the September MLS sales data, there were 11 listings which sold $100,000+ above their original asking prices; these listings were Owen Road which sold $800,000 above asking, Willowglen Place & Atascadero Drive which both sold $305,000 above asking, La Manida Street & Foothill Road & Miramonte Drive which all sold $205,000 above asking, Via Salerno which sold $201,000 above asking, Surf View Drive & Verde Vista & Calle Aparejo which all sold $105,000 above asking, and Volante Place which sold $101,000 over asking. Nationally, the percentage of August sales above the asking price has averaged 29.8% as compared to the South Coast of Santa Barbara’s 23%. If you think overbidding is high in Santa Barbara, just look at reported sales in Silicon Valley where at least 34 properties sold for $200,000 or more above their list prices in September, 14 that closed for more than $400,000 over asking, and 3 homes sold for more than $1,000,000 over asking. Atherton is still leading the pack as a hot market.
Of the 123 residential sales in September 2026, 112 sold for over $1,000,000, which equates to 91% of the total sales, down from 92% August. As a comparison, just 12% of listings nationwide are priced above $1,000,000. The South Coast of Santa Barbara County is not an inexpensive place to purchase real estate compared to other areas of the United States, but many people will pay more to live in Santa Barbara. According to Property Shark’s survey, California had 7 of the 10 most expensive median-priced ZIP codes in the United States. Montecito’s 93108 ZIP code came in at #5 with a median sale price of $6,995,000. The #1 spot is held by Fisher Island (off the coast of Miami) where the median sale price is $11,925,000, which is 27 times higher than the U.S. median sale price. https://www.propertyshark.com/Real-Estate-Reports/most-expensive-zip-codes-in-the-us/
Another validation of Santa Barbara’s popularity, no matter the cost, the New York Post’s survey ranked the most expensive cities in the US to visit as a tourist and the winner is #1 Aspen where a three-day trip for two costs $2,708. Closely followed is #2 Santa Barbara where a three-day trip for two costs $2,446. Filling out the top five on the list were Anchorage, Bar Harbor, and Fairbanks. The last (#55) on the list and the least expensive tourist destination for vacationers was Clearwater, Florida, where a three-day trip for two costs $1,630, 40% less than Aspen. https://nypost.com/2025/07/04/lifestyle/most-expensive-tourist-destinations-in-the-us-in-2025/
The Federal Reserve’s (the Fed) first interest rate hike in more than three years is likely to increase borrowing costs for many consumers, particularly those carrying variable-rate debt such as credit cards and home equity lines of credit. Earlier this month, the Fed voted unanimously to raise its benchmark federal funds rate by 25 basis points, lifting its target range from 3.5%-3.75% to 3.75%-4%. The increase marked the central bank’s first rate hike since July 2023 after holding rates steady through its first five meetings of the year. Questions also remain about the effect the Trump administration’s continuing pressure campaign will have on Chairman Kevin Warsh in the future. The 10-year Treasury yield breached a level last seen in April 2002, rising 4 basis points to 5.3338%. The figure is key to rates for mortgage borrowing, auto loans and credit card debt. The current $100+ per barrel cost of Brent Crude Oil is much more expensive than the roughly $72 it cost before the U.S. and Israel attacked Iran in late February.
On October 1st, the jump to 7.28% for a 30-year fixed-rate mortgage marks the largest one-week increase since 2022, according to data from Freddie Mac. The current interest rate as of October 14th is up to 7.4%. These are up from 6.71% on September 3rd. Historically the lowest 30-year mortgage interest rate since 1970 was recorded in February 2021 at 2.65% and that low rate was matched in July 2021 during the COVID pandemic. If Buyers are expecting 3% or even low 5% mortgage rates to return to buy a home, they are waiting for an anomaly and should wait no longer. The highest historical 30-year fixed-rate interest rate was recorded in 1981 @ 18.63%. The average 30-year mortgage rate over the last 50 years has been 7.70%, so current rates are still below that average. Mortgage rates of 8.03% in October 2023 were at a 23-year high following all-time lows reached just three years before, highlighting the effect that financing costs have on the housing market. The payment on a $913,100 mortgage in 1981 would have been $13,423/month, the payment in June 2021 would have been $3,679/month, and as of October 1st, the payment would be $6,248/month. As an alternative to obtaining a fixed-rate or an adjustable mortgage, in September 2026, 36% of South Coast Buyers purchased homes with cash, up from 35% in August. Nationwide there are more cash purchases at the lower and higher ends of the markets.
The NAHB/Wells Fargo Housing Market Index (HMI) is designed to gauge and track the pulse of the single-family housing market. Each month, the HMI depicts overall builder sentiment toward housing market conditions on a scale ranging between 0 and 100. A higher reading (>50) is an indication that the majority of builders feel confident about the current and near-term outlook for housing. Builder confidence in the market for newly built single-family homes fell three points to 32 in September. The latest HMI survey found that 38% of builders cut prices in September, up from 35% in August. The average price cut remained at 6% for the sixth consecutive month. Meanwhile, 66% of builders reported using sales incentives in September, up from 63% in August and the highest share since 67% posted in December. https://www.nahb.org/news-and-economics/housing-economics/indices/housing-market-index
The Council for Community and Economic Research 2026 second-quarter Cost of Living Index compares prices in 248 participating urban areas and reflects the spending patterns of households in the top 20% of local incomes. The average across participating areas is set at 100. Manhattan and Honolulu, two notoriously expensive cities to live in, rank #1 and #2 on the index nationally; multiple California areas are also among the most expensive to live in; San Jose ranked #3 @ 179 (the average price for a gallon of regular gas $6.43), San Francisco ranked #4 @ 169 ($6.56/gallon), Orange County ranked #5 @ 165 ($6.39/gallon), Los Angeles @ 150 ($6.44/gallon), and San Diego @ 145 ($5.99/gallon). Gas prices were compiled as of October 2ndas a further barometer of how expensive it is to live in California. According to AAA, the average gas price in Santa Barbara County is $6.28/gallon, while the California county with the lowest average cost is Sutter County at $6.14/gallon, and the highest average cost is Mono County at $7.31/gallon. According to AAA, the average cost of a gallon of gas in California is $6.40/gallon and the National average is $4.40/gallon. If you think that we have high prices, check Hong Kong, where gas costs $15.90/gallon!https://www.latimes.com/business/story/2026-09-10/groceries-gas-rent-why-its-so-expensive-to-live-in-la?
The Conference Board Consumer Confidence Index® fell by 6.7 points to 81.9 (1985=100) in September, down from 88.6 in August. “The Consumer Confidence Index deteriorated notably in September, following two prior months of softening,” said Dana M Peterson, Chief Economist, The Conference Board. “The Present Situation Index fell sharply, while the Expectations Index slipped further into negative territory. Consumer appraisals of current business conditions became negative for the first time since September 2024. Perceptions of the current labor market also worsened, though remained within positive territory. Over the next six months, consumers expected both business conditions and the labor market to weaken.” https://www.conference-board.org/topics/consumer-confidence
According to the University of Michigan’s October 9th survey: Consumer sentiment was little changed this month, inching down a scant 1.8 index points from September. While year-ahead expectations for personal finances and business conditions crept up slightly, buying conditions for durables plummeted amid high prices and borrowing costs. Increases in sentiment among Democrats and Republicans were offset by a decline among independents this month. Overall, sentiment for lower-income consumers and those with smaller stock portfolios dropped steeply this month, groups that have fewer resources to weather increases in prices. Frustration over cost-of-living continues to mount, as consumers across the political spectrum believe that the trajectory of the economy has weakened since the beginning of the year. https://www.sca.isr.umich.edu/
Historically, the highest Year-to-Date median sale price on the Santa Barbara South Coast was recorded in 2007 at $1,031,500, but that high mark is now ancient history. The median sale price of all 1,112 residential Year-to-Date sales as of October 1st 2026 was $1,800,000, down 5% from 2025. The average sales price as of October 1st 2026 was $2,867,960. The median sale price was hovering near 2007’s historic high for most of 2017, 2018, and 2019, it started its upward climb in 2020, accelerating in 2021 and into the first half of 2022 before leveling off throughout and declining 1% in 2023. There have been no double-digit price increases in the median sales price since a 17% increase in 2020, 24% in 2021 and 15% in 2022.
Based on the Santa Barbara Multiple Listing Service data, as of October 1st in the City of Santa Barbara, there were 91 active House/PUD listings (up from 80 on September 1st) and 33 pending sales (down from 36 on September 1st) which equates to a 2.8-month (up from 2.3 on September 1st) supply of listings for Buyers to choose from in the City of Santa Barbara. Generally, a 1-month supply would indicate the listings would be sold within one month. A less than 1-month supply of inventory indicates a Feverish Seller’s market, a 1-to-2-month supply indicates a Heated Seller’s market, and a 2-to-4-month supply is considered a Basic Seller’s market where Buyer demand is still high, and inventory is scarce. Historically, a 4-to-6-month supply of available inventory indicates a Balanced market. More than a 6-month supply indicates a Buyer’s market where inventory is plentiful, with Buyers being slower to make decisions as they compare numerous properties on the market. As of October 1st, Carpinteria/Summerland has a 1.2-month supply (down from 2.3 on September 1st), Montecito has a 3.4-month supply (down from 7.8 on September 1st), Hope Ranch has a 11-month supply (down from 12 on September 1st), and Goleta has a 1.3-month supply (down from 1.7 on September 1st). Carpinteria/Summerland and Goleta are both in Heated Seller’s markets. Santa Barbara and Montecito are both in Basic Seller’s markets. Hope Ranch remains in a Buyer’s market. With a combined total of 97 House/PUD pending sales (up from 78 on September 1st) and 216 active listings (down from 217 on September 1st) along the South Coast of Santa Barbara County, there is a 2.8-month supply (the same as on September 1st) of House/PUD listings from which Buyers can choose. By removing the 66 higher-valued House/PUD listings in Montecito & Hope Ranch and their 17 pending sales from the equation, there is only a 1.9-month supply (down from 2.1 on September 1st) of listings for Buyers to choose from on the South Coast of Santa Barbara County. With a combined total of 18 Condominium pending sales (down from 24 on September 1st) and 73 active listings (up from 65 on September 1st), there is a 4-month supply (up from 2.7 on September 1st) of Condominium listings from which Buyers can choose.
There are many concerns for Buyers and Sellers. These include the wars in the Middle East and Ukraine, the rising price of gas, continued worldwide geopolitical tensions, inflation, insurance premium volatility, ever higher mortgage interest rates, health insurance rates, geopolitical tensions, and how many other administration economic policies are confusing to our trading partners. Also, a major concern for Buyers and Sellers is the scarcity and cost of homeowners’ insurance coverage, especially since State Farm, Nationwide, Kemper, Marine America, Trans-Pacific, Allstate and others have refused to issue new policies in California and are not renewing existing home insurance policies. Buyers are increasingly resorting to the California Fair Plan for insurance coverage as the last resort, whose rates are rumored to be rising by 29% later this year. Sellers should be aware that Buyers are being more disciplined, homes are taking longer to sell, and pricing strategy matters more than ever.
California’s Proposition 19 allows homeowners aged 55+ to transfer their existing real estate tax base to a home anywhere in California; this law encourages some older Sellers who wish to sell their current homes and downsize. The imbalance between Santa Barbara’s low housing supply and high demand is more pronounced than in most national cities, so over the years, there has been a surge in local property values. While market corrections may still negatively impact property values on the Santa Barbara South Coast, the impact is expected to be less severe compared to many other areas in the state and country. New 2026 listings may have remained on the market a bit longer than in 2025, but they continue to sell. Home values in the Santa Barbara South Coast Real Estate Market continue to be supported by supply and demand dynamics due to our current market’s persistent low listing inventory. Pre-pandemic House/PUD active listings as of September 1st totaled 571; as of September 1st 2026, there are now 282 active listings, which equates to 51% fewer active listings than in 2019.
Review the attached list of the123 properties sold on the Santa Barbara South Coast in September 2026, and contact me for information on specific sales in our area.
Stan Tabler, CRS, GRI, ABR, GREEN
Compass
801 Chapala Street
Santa Barbara, CA 93101
805.689.2305
CalBRE Brokers License #00774377 since 1980
Realtor of the Year
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