Santa Cruz Tide Report

🔗 Check out all last week’s new listings here  / link is below https://search.mlslistings.com/Matrix/Public/Portal.aspx?L=1&k=1039698XJN02&p=ALL-0-0-H#1

This week’s Santa Cruz tide report: inventory keeps thinning, meaning today’s numbers show 222 single-family homes and only 73 condos/townhomes—down from last year’s higher time of 500 single-family homes and 120 condos/townhomes during the peak—and the market feels a little “held in place.” Not because nothing is happening, but because people are watching the payment conversation closely.

With fewer choices available, will that mean less movement? I don’t think so. I see that as the rates advancing in a lower range. The 88% of buyers I spoke about last week will see a pricing environment that’s staying… our time has come.

With less homes, the reduction rate is only at 30%. Many sellers canceled—we had 57 last week alone—so our reduction rate is well below the numbers seen in 2025 and below the national average. The sellers who are on now—I would consider serious sellers—benefit from the limited competition. I think yes. That matters in a low-inventory moment, because it tells me sellers here aren’t broadly panicking—but buyers are still negotiating when a home misses the mark on price, condition, or location.

An exciting moment: rates briefly flirted with below 6%, but today we begin the week at 6.06%—still well below averages last year and a full percent below this time last year. That doesn’t sound dramatic, but small moves like that change buying power and monthly payment math. If you are curious what that means to you, I have a great lender who can share what these numbers look like and compare renting vs. owning.

So if rates keep easing, does buyer activity jump all at once? That’s typically when the market starts to feel crowded—everyone wanting to catch the perfect wave—and the best opportunities go to the people who are already positioned.

There are many amazing opportunities out there—every neighborhood has a story. What is yours? 

Guiding you home with Aloha

Touring this weekend? Here’s the one link you need

Want a quieter walkthrough? Book a private appointment