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Santa Barbara Real Estate Blog

Santa Barbara Real Estate Market Update – October 2025

November 13, 2025

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Balance has Returned to Real Estate

“Opportunities don’t happen. You create them.” — Chris Grosser

Santa Barbara’s real estate market continued to show healthy signs of balance in October. The steady confidence follows the trends we’re seeing nationwide, where inventory levels have been gradually rising, mortgage rates have slightly dipped, and builder confidence is increasing. Locally, the area’s natural beauty; appealing; and well-presented, seller-driven listings continue to attract strong buyer interest. Let’s review the numbers for October so you can make an informed decision when it comes to your real estate needs.

A professional woman behind a desk with a phone and laptop.

October U.S. and Santa Barbara Real Estate Market in Focus

  • Nationally, new listings increased 4.1% year over year for the four weeks ending October 12 — the biggest rise in several months.
  • Builders’ confidence reached a six-month high in October, signaling optimism about future housing starts and demand.
  • Mortgage rates in the U.S. have fallen toward the low 6% range, boosting affordability and supporting buyer momentum.
  • In Santa Barbara, well-maintained homes that align with market value continue to draw attention. Increased inventory offers more options, and strategic sellers are seeing successful results.
  • Buyers are returning to the market with purpose: they’re comparing neighborhoods, homes, and amenities, and waiting for listings that truly match their needs.
  • Sellers who focus on preparation—such as proactive repairs, updated visuals, and transparent pricing—stand out.
  • Negotiation is productive: buyers and sellers work together on timelines, inspections, and value-adds to keep deals progressing.
  • Expand your search: A street over or a different neighborhood might provide the same lifestyle at a better value.
  • Stay prepared: With more listings available, quick responses are essential. Have your pre-approval or proof of funds ready.
  • Focus on condition: Homes that are well-maintained, staged, and priced for today’s market are the ones seeing movement.

What’s New This Month for Santa Barbara

Opportunities Right Now For Buyers

  • Expand your search: A street over or a different neighborhood might provide the same lifestyle at a better value.
  • Stay prepared: With more listings available, quick responses are essential. Have your pre-approval or proof of funds ready.
  • Focus on condition: Homes that are well-maintained, staged, and priced for today’s market are the ones seeing movement.

Strategies For Sellers

  • Price for today: Align initial pricing with current comps and condition, not yesterday’s market peak.
  • Preparation matters: Curb appeal, clear visuals, and thoughtful staging make a difference.
  • Be flexible: Slight adjustments in timing or minor inspections can help your listing stand out and close smoothly.

Looking Ahead, Nationally and Locally

As we move deeper into the fall season, activity may slow slightly, but that doesn’t mean opportunity stalls. Qualified buyers are still moving, and sellers who present well and price realistically will continue to find success. The national backdrop of growing inventory and healthy builder sentiment suggests that the next chapter of the housing market is less frenetic and more intentional—a strong environment for smart decisions.

Santa Barbara remains special. Because it blends lifestyle, scenery, and local strength, this market rewards thoughtful choices that create value and meaning, rather than just quick transactions.

Santa Barbara Real Estate Market Update by Neighborhoods

A luxury Tuscan Estate's backyard with a backdrop of majestic mountains.

Montecito

Montecito saw 15 new listings come to market in October, while 19 sellers adjusted pricing to align with current comps. The month wrapped up with 20 closed sales and 19 properties going pending—clear signs of steady demand for homes offering privacy, views, and easy access to trails and the shoreline.

The red tiled roof of this Mediterranean-style residence add to the home's South-of-France ambiance.

Santa Barbara

In October, Santa Barbara saw 91 new listings hit the market—from charming cottages and downtown condos to Riviera-view homes and spectacular estates. There were 67 price adjustments to better match buyer expectations, and the month finished with 65 closed sales and 72 properties under contract, reflecting a steady, engaged market.

The backyard of a Hope Ranch home with a serene swimming pool and maincured grounds.

Hope Ranch

In Hope Ranch, inventory remained selective. October brought 6 new listings and 4 strategic price adjustments. The month closed with 2 sales and 2 properties under contract, reflecting continued buyer interest in acreage, equestrian amenities, and easy coastal access.

Cape-cod style estate surrounded by manicured grounds at sunset.

Carpinteria

In October, laid-back coastal appeal continued to draw strong interest, with 25 new listings, 17 thoughtful price refinements, 21 closings, and 17 properties under contract—showcasing steady engagement from buyers seeking beach-adjacent living and mountain-view retreats just south of town.

Golf course and mountain views and english style gardens surround this home.

Featured Property

A Montecito Masterpiece of Relaxed Luxury & Beauty
Birnam Wood Estate With English Gardens and Lake Views
510 McLean Lane, Montecito, CA 93108
Listing Price: $ 8,500,000

Tucked behind the secure gates of Montecito’s prestigious Birnam Wood Golf Club, this elegant estate enjoys one of the community’s most coveted locations, with serene lake and Santa Ynez Mountains views just moments from the clubhouse. Storybook English-style gardens with mature oaks, roses, citrus, and meandering paths create a lush, park-like setting that flows seamlessly into refined, traditional interiors featuring crown molding, rich wood paneling, vaulted ceilings, and multiple fireplaces.

A sunlit great room with a fireplace and comfy luxury furniture.

Sunlit living spaces, including a view-filled veranda and grand formal dining room with terrace access, are ideal for both intimate evenings and gracious entertaining, while the chef-inspired kitchen blends artisan charm with everyday functionality. A cathedral-ceiling study provides a quiet retreat, and the luxe primary suite—opening directly to the gardens—offers a marble-clad bath, generous closet, and a private writing nook. A separate one-bedroom guest cottage, along with a three-car garage, completes this rare offering: a timeless, view-rich Birnam Wood residence that captures the essence of relaxed Montecito luxury.


Whether you’re thinking about selling your home, searching for your next dream property, or managing both, the insights from October can help guide your decisions. Cristal Clarke offers personalized, no-obligation consultations to help you make confident, informed choices. Contact her at (805) 886-9378 or by email at Cristal@montecito-estate.com for your free consultation. Meanwhile, stay updated on the real estate market by reading her monthly reports.


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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