Santa Barbara Real Estate Market Update – December 2025

A Market That Rewards Preparation and Perspective

December closed out the year with a steady, confident tone across the Santa Barbara real estate market. While the holiday season traditionally brings a slower pace, motivated buyers remained engaged last month, and well-positioned sellers continued to see meaningful results. Nationally, easing mortgage rates, improving buyer confidence, and gradually increasing inventory helped support the market, and those same themes carried through locally.

Across Santa Barbara’s neighborhoods and communities, the market continued to favor thoughtful pricing, strong presentation, and strategic negotiation. December reinforced an important takeaway: preparation and clarity remain the keys to success for both buyers and sellers.

The front of a luxury home with a circular driveway and a fountain plus lush vegetation.

December Market Highlights: National and Local Trends

As we enter the new year, the Santa Barbara real estate market appears well-positioned for continued balance. Serious buyers are active, inventory is improving gradually, and sellers who approach the market with a strategic mindset are finding success. While the pace may feel calmer than in past years, opportunity remains strong for those who plan thoughtfully and act with confidence.

The entrance to Hope Ranch lined with palm trees.

What We’re Seeing in Santa Barbara: Buyers Are Focused and Purpose-Driven

Today’s buyers are highly intentional. They’re carefully evaluating neighborhoods, amenities, and lifestyle fit across Montecito, Santa Barbara, Hope Ranch, and Carpinteria. When a property aligns with their needs and expectations, they’re prepared to act decisively—even during the holidays.

Sellers Who Price Strategically Continue to Win

Homes that reflected current market value, not last year’s peak pricing, stood out in December. Sellers who invested in preparation, presentation, and realistic pricing were rewarded with stronger interest and cleaner negotiations.

Negotiations Remain Collaborative

Rather than adversarial, most negotiations focused on practical solutions: timelines, minor repairs, and concessions that kept transactions moving forward. This cooperative tone has helped reduce friction and create positive outcomes for both parties.

December’s Bottom Line

In Santa Barbara and the surrounding communities, well-maintained homes priced appropriately for today’s market conditions continued to attract strong interest and smooth escrows.

Santa Barbara Real Estate Market by Neighborhood – December 2025

Montecito

Montecito followed a traditional year-end pattern, with steady interest in private, well-designed estates. The month recorded 6 new listings, 4 price adjustments, 9 properties going pending, and 9 closed sales. Homes offering privacy, ocean or mountain views, and refined indoor–outdoor living continued to be especially sought after, with strategic pricing playing a key role in successful outcomes.

Santa Barbara

The City of Santa Barbara remained active across multiple price points in December. The month included 61 new listings, 26 price adjustments, 95 closed sales, and 62 properties under contract. Well-presented homes in the Riviera, Mesa, Upper East, and downtown areas continued to attract qualified buyers, providing a strong foundation as we move into the new year.

Hope Ranch

Hope Ranch remained selective, as expected, reflecting its low-inventory, high-value profile. December saw 1 new listing, 4 price adjustments, 1 closed sale, and 1 pending properties. Buyer interest remained consistent for properties offering acreage, equestrian amenities, coastal access, and privacy.

A Cape-Cod style luxury home with a beautiful pink, purple and yellow sunset.

Carpinteria & Summerland

Carpinteria and Summerland continued to draw buyers seeking beach-close living and a relaxed coastal lifestyle. December recorded 14 new listings, 10 price adjustments, 13 closed sales, and 13 pending properties. Homes with updated interiors, outdoor living spaces, and thoughtful renovations remained particularly attractive.

Featured Property

Birnam Wood Estate With English Gardens and Lake Views
510 McLean Lane, Montecito, CA 93108
Listing Price: ^$ 7,750,000

The backyard of a luxury home set amist rolling golf fairways and majestic vistas under a beautiufl sky at sunset.

Set behind the gates of Montecito’s prestigious Birnam Wood Golf Club, this refined residence occupies one of the community’s most desirable locations, just moments from the tony community’s clubhouse and surrounded by rolling fairways, a tranquil lake, and sweeping views of the Santa Ynez Mountains. The beautifully landscaped grounds evoke the charm of an English garden, with mature oaks, manicured hedges, roses, citrus trees, and winding paths that create a serene, park-like setting ideal for both quiet moments and elegant entertaining.

A gourmet kitchen with a magnificent iron chandelier, hand-stenciled cabinetry and an island in the center.

Inside, the home reflects timeless European-inspired design, with gracious living and dining spaces, vaulted ceilings, classic architectural details, and sun-filled rooms that open seamlessly to the outdoors. A chef-inspired kitchen, private study, and luxurious primary suite with garden access provide comfort and functionality, while a separate guest cottage offers flexibility for visitors or creative pursuits. This exceptional property captures the essence of Montecito living—private, polished, and enduringly elegant.

Santa Barbara’s enduring appeal—its lifestyle, natural beauty, and architectural diversity—continues to support long-term value. In this market, informed decisions matter more than ever.

Just reach out to me at (805) 886-9378 or by email at Cristal@montecito-estate.com. And as always, I encourage you to stay connected by reading my monthly market reports for the latest trends and neighborhood insights.

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Client Reviews

“It was an emotional experience selling our mother’s home in Montecito that we all loved so much but Cristal made the process easier on our whole family by guiding us through the transaction every step of the way. She knows the market so well and everything she recommended was on point including the asking price, painting, and staging the home, which looked beautiful and helped the buyer envision her new home. We sold it the first day it hit the market with an offer above asking! Cristal did an incredible job communicating with us and the buyer to ensure that the transaction would run smoothly. We highly recommend using Cristal, she was a pleasure to work with! ”

- J & A

“Cristal is a pleasure to work with! Her knowledge of the local real estate market coupled with her amazing listening skills resulted in her showing us an array of homes that were all excellent choices. Her low-pressure patient attitude made us feel extremely comfortable with the whole process. I cannot recommend her highly enough.”

- M.F.

“Cristal Clarke is #1 in her field - and you don't become #1 by luck. Cristal works harder, and longer, and with more charm and patience than any real estate agent I have ever worked with in the past; her calendar has no weekend, her days have no clocks, her only concern is selling your property as soon as possible and for the best price on the market. Am I a fan? You bet!”

- P.B.

“We have used Cristal now several times and cannot express how grateful we are for her expertise, dedication, and unwavering support throughout the entire home-buying process. Cristal is knowledgeable, patient and attentive. Her attention to detail is remarkable, and she consistently went above and beyond to provide us with all the information and resources we needed to make informed decisions. Cristal is a skillful negotiator and advocate. She can navigate complex negotiations with professionalism and grace and felt like a true partner to us in the home-buying process. Cristal has a genuine passion for real estate and a deep commitment to her clients' satisfaction. I cannot speak highly enough of Cristal and her exceptional service. She is a true expert in her field and her dedication to excellence, combined with unwavering support is the reason we choose to work with her for all our real estate buying needs.”

- T.C.

“Cristal is a top-notch realtor who sold my home before it ever went on the market. I had two competing offers that enabled me to get top dollar for my home. Not only is Cristal superb but her team is extraordinary. I cannot say enough about Cristal and her team. They are simply phenomenal, the consummate professionals, who took care of every possible detail, making the sale and transition period, smooth from our end. They are also lovely, caring people, who knew all the right professionals, to get the job done. Thank you, everyone!”

- D.R.

“I could list lots of cool adjectives to describe Cristal. All good by the way. But, that is not why I or anyone should hire Cristal. My reason for hiring her, which proved to be correct, is very simple. She got the job done. And, she does it time and time again and with zero issues. And, that is why she is one of the top agents in the country. End of subject. ”

- M.A.

“Working with Cristal was a complete pleasure. Cristal was extremely patient with us as we evaluated nearly 2 dozen homes over a span of 2 years. Her knowledge of the market is unmatched. Cristal provided us with exceptional counsel as we evaluated opportunities and negotiated pricing. The closing process was handled thoroughly and efficiently. We could not be happier with our purchase and even more happy to now call Cristal our friend.”

- D.K.

“Cristal Clarke has conducted numerous real estate transactions for me beginning 13 years ago with the purchase of a Lemon Ranch. She has handled both large and small purchases and sales with equal dedication. As a negotiator, you can’t find anyone better. Her transactions are always conducted in the most appropriate and professional manner. Cristal has considerable knowledge of the Santa Barbara market.”

- S.N. Decker Ph.D.

“Living in Europe, we were to say the least, unaccustomed to the nuances of Real Estate acquisition in California and Cristal steered us through the process with absolute professionalism and personal attention to detail at every turn. Her in-depth knowledge of the market place combined with enthusiasm and drive was the only reason we secured the property of our dreams and will be forever grateful. If you are looking for personal discrete and private representation of the highest quality we suggest you look no further than Cristal Clarke.”

- Johan and Paula van den Berg

“Cristal is very straightforward, cheerful, helpful, professional and trustworthy….we felt very lucky to work with her.”

- John and Lacey Williams

“After considering our many choices, we are grateful it was Cristal Clarke of Sotheby’s International who represented the sale of our Montecito cottage. We are familiar with Cristal’s reputation of hard work and dedication to clients, but it was her attention to detail that made our experience so positive. She offered suggestions for staging the property, worked in harmony with potential buyers and was even able to secure back up offers. The sale of our cottage was completed much sooner than we expected, due in great part to Cristal’s professional skills and support. We highly recommend Cristal as a first choice for anyone needing representation with real estate.”

- Michael & Nancy Lee

“Our experience in working with Cristal Clarke resulted in the successful and discrete acquisition of a property which was not yet on the open market. Her knowledge of the Montecito/Santa Barbara area and vast expertise blended with her passion for real estate and architecture, provided us with the very highest level of professionalism and personalized services. Cristal exhibited a rare combination of excellent communications, attention to detail, creativity and patience.”

- Richard and Catherine Frinier

“Cristal really breaks the mold. She knows every nook and cranny of this real estate market, understands value, and follows up on everything, all the time. She was incredibly patient with our two year quest to find the perfect house. Every house hunting trip from across the country was well planned, and our time was never wasted. On top of her professionalism and expertise, she is delightful to spend time with. We are thrilled with the home we purchased, and grateful to Cristal for so wisely advising us through this process, right through to the close and beyond.”

- Laurie Siegel

“We met Cristal first in the course of renting a winter home (for three years), then buying a house using her as our agent. She was amazingly good at listening to our wants and showing us homes that fit our needs. Her mastery of the paperwork was perfect. Most importantly, there was never a situation where we doubted her straightforwardness or integrity. If we do another real estate transaction in Montecito (which I doubt, we’re happy with what we purchased), without question we’d use Cristal again.”

- Ken Saffir

“Susan and I just want to thank you for your efforts in the sale of our home. You are really quite amazing. Your competence, persistence, optimism and humor made the entire process effortless. Every problem that arose, you somehow fixed; any obstacle, you overcame. We have bought and sold many homes. It has never been such a painless and enjoyable process!”

- Michael & Susan Marquart

“A little something about “our” realtor, Cristal Clarke. My wife and I came to Santa Barbara about fifteen years ago looking for a seasonal home from which to enjoy the weather and amenities of the central coast. Being in the real estate business myself I was familiar with agents and brokers so entered the market with open eyes. We “flipped” a few houses in the early years, dealing with various agents and finally ended up in Montecito. That’s when good fortune put us together with Cristal. To say we were impressed is to put it mildly. Cristal really knows the market. She is familiar with the area, its history and trends. When we have questions about a particular property she either has the answers immediately or gets back to us by phone or email. There is no waiting or wondering with Cristal. She is an agent who is “on top of it.” Her recommendations as to price points, contractors, inspectors and title agents have proven to be exceptional, showing great insight and the highest professional standards. We consider ourselves exceedingly fortunate to say that Cristal Clarke is our realtor and would recommend her services to any serious buyer or seller.”

- Rob & Judi Kelch