Orange County’s housing market just wrapped up a stronger-than-expected October, marking the second year in a row that sales climbed from September. Home sales were up 5% month over month and 3.8% higher than last October, suggesting that buyers are responding to improving affordability and steadier rates.

Homes are still selling close to list price. On average, sellers received about 99% of their final list price, right where we’ve been for several months. That number mostly reflects homes priced under $1.2 million, where demand remains solid. At higher price points, it’s still common to see steeper discounts as buyers weigh their options.

Despite the uptick in sales, inventory slipped just 2% from September, but remains 13% higher than any point in 2024 or 2023. One key difference this year is that more sellers are staying on the market longer instead of pulling their listings early. With conditions relatively favorable, they’re choosing to wait for the right offer rather than sitting out the season.

That patience is showing up in the stats: the average days on market hit 55, the highest so far this year. The longer market time isn’t necessarily a sign of weakness, it’s more about balance returning as both sides take a breath.

Meanwhile, mortgage rates have dropped to their lowest level in more than a year. The average 30-year fixed rate sits around 6.17%, though we’re hearing reports of rates in the 5s for well-qualified buyers. That’s fueling some renewed optimism as we head into the holidays.

Prices remain steady, with the average price per square foot at $749, a touch below last month but slightly above where we started 2024. In short: the market’s cooling weather-wise, but conditions are warming up for both buyers and sellers who stay engaged.

Bottom line:
More sales, steady prices, stable inventory, and rates finally easing, October was a month that quietly built momentum. If you’ve been on the sidelines waiting for the right time to make a move, this may be your window.

📞 Thinking about buying or selling? Let’s talk about how today’s numbers translate to your neighborhood. Visit EncinasHomes.com or reach out to Veronica and Rosario for a local market plan tailored to you.