Luxury homes along the Santa Cruz waterfront

For the past few years, the real estate market in the Santa Cruz metro area has seen some changes—most significantly that housing prices continue to rise, despite a number of external factors (i.e. a pandemic, a rising cost of living) that would typically cause average prices to stagnate or even fall. Of course, this is true of most areas across the state, but it can be a bit disheartening, particularly for first-time homebuyers.

 

If you’re considering buying or selling a home in and around Santa Cruz, the following information may help you better understand the market before you make your decision.

What’s The Santa Cruz Real Estate Market Like?

Comparing data from both the state of California and the metro area of Santa Cruz, there are a few statistics of note. According to active realtors, the number of sales closed fell almost 9% from January, with the number of listings dropping slightly (though much less, at about 1%). 


However, as we move into the spring season (generally considered the best time to buy or sell a home!), many are optimistic that these numbers will rise exponentially in the coming months. March to May is generally the busiest time to buy/sell a property.

Current Housing Prices In Santa Cruz

According to the Santa Cruz Association of Realtors, the median price for a single-family home in January 2024 was $1,160,000. Taking into account market trends, home prices in February tend to rise slightly, and this month seems to be following in the footsteps of other years.

 

In the second week of February 2024, Redfin reported an average sale price of $1,032,708, though it is important to note that this includes not only single-family homes, but condos and townhomes in the Santa Cruz metro area, as well. We can also compare the monthly sale data (average sale price) of single-family homes in the city of Santa Cruz from previous years, as collected by the Santa Cruz Association of Realtors:

  • February 2023: $1,597,322
  • February 2022: $1,989,629
  • February 2021: $1,296,120
  • February 2020: $1,144,246

 

As a whole, housing prices seem to closely reflect the trends of the previous year. Comparing the average sale prices from 2023, January saw a 0.6% increase from this time last year. 

 


On the other hand, the average listing price is not the same as the actual selling price. In some locations, these figures can vary quite a bit, illustrating a gap between what sellers think the property is worth and what homebuyers are willing to pay.


According to Redfin, the average selling price of a property in the Santa Cruz metro area at this point in time is $1,020,000. In comparison, 2022 and 2023 had differing numbers: $1,109,000 and $1,067,000, respectively.


While this may not be a considerable difference, it’s interesting to note that properties sell, on average, at their listed price or a little bit less—and this goes back to supply and demand of homes on the Santa Cruz real estate market.

A Buyer’s or Seller’s Market?

It is currently a seller's market, as is true of almost every single region in the state of California. All this means is that buyers are usually competing with each other to purchase a home, and that there is low inventory and high demand. This directly reflects the figures above, particularly the number of sales closed and the number of listings dropping. However, this could even out in the future.

Santa Cruz Real Estate Market: The Future

According to collected data, the number of homes sold around this time of the year is significantly less than the years 2020 and 2021. 


What does that mean? Ultimately, it means that this is a favorable time for sellers to list their property, and buyers may want to hold out, or take the plunge now before housing prices rise further.

 

Browse Homes For Sale In Santa Cruz, CA

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4140 Opal Cliff Dr, SANTA CRUZ

$14,950,000

4140 Opal Cliff Dr, SANTA CRUZ

4 Beds 5 Baths 4,050 SqFt Single Family Residential MLS® # ML82003250

Amber Grewer Real Estate 831-566-0021MLSListings Inc Logo

1703 East Cliff Dr, SANTA CRUZ

$8,500,000

1703 East Cliff Dr, SANTA CRUZ

0 Beds 0 Baths 4,754 SqFt Multi-Residential MLS® # ML82007169

California Real Estate 831-818-4108MLSListings Inc Logo

420 Bonnie Brae Road &  3980 Bonny Doon Rd, SANTA CRUZ

$8,495,000

420 Bonnie Brae Road & 3980 Bonny Doon Rd, SANTA CRUZ

5 Beds 5 Baths 5,123 SqFt Single Family Residential MLS® # ML82020749

Coldwell Banker Realty 831-214-1990MLSListings Inc Logo

3485 Stable Ln, Santa Cruz

$7,895,000

3485 Stable Ln, Santa Cruz

3 Beds 2 Baths 1,270 SqFt Single Family Residential MLS® # ML82027399

Bailey Properties 831-212-0240MLSListings Inc Logo

151 Blackpoint Ln, SANTA CRUZ

$6,500,000

151 Blackpoint Ln, SANTA CRUZ

3 Beds 2 Baths 2,353 SqFt Single Family Residential MLS® # ML82021380

Anderson Christie, Inc. 831-406-1031MLSListings Inc Logo

Enhanced
2974 E Cliff Dr, SANTA CRUZ

$5,999,999

↓ $200,001

2974 E Cliff Dr, SANTA CRUZ

3 Beds 3 Baths 2,816 SqFt Single Family Residential MLS® # ML81998255

Coldwell Banker Realty 831-818-3723MLSListings Inc Logo

22800 E Cliff Dr, SANTA CRUZ

$5,750,000

22800 E Cliff Dr, SANTA CRUZ

0 Beds 0 Baths 3,224 SqFt Multi-Residential MLS® # ML82026755

Lifesaver Realty 831-345-6202MLSListings Inc Logo

22800 E Cliff Dr, SANTA CRUZ

$5,750,000

22800 E Cliff Dr, SANTA CRUZ

6 Beds 6 Baths 3,224 SqFt Single Family Residential MLS® # ML82026842

Lifesaver Realty 831-345-6202MLSListings Inc Logo

514 Meder St, SANTA CRUZ

$5,750,000

514 Meder St, SANTA CRUZ

5 Beds 2 Baths 2,208 SqFt Single Family Residential MLS® # ML82014613

Park Place 831-234-6700MLSListings Inc Logo

3554 Paul Sweet Rd, SANTA CRUZ

$4,995,000

3554 Paul Sweet Rd, SANTA CRUZ

2 Beds 1 Bath 1,200 SqFt Single Family Residential MLS® # ML82007986

Montalvo Homes & Estates 831-239-9203MLSListings Inc Logo

116 Monterey St, SANTA CRUZ

$4,880,000

↓ $552,100

116 Monterey St, SANTA CRUZ

4 Beds 4 Baths 2,586 SqFt Single Family Residential MLS® # ML82021291

eXp Realty of California Inc 831-282-2713MLSListings Inc Logo

420 Bonnie Brae, SANTA CRUZ

$4,500,000

420 Bonnie Brae, SANTA CRUZ

5 Beds 5 Baths 5,123 SqFt Single Family Residential MLS® # ML82020752

Coldwell Banker Realty 831-214-1990MLSListings Inc Logo

 

All data was taken from Redfin, The Santa Cruz Association Of Realtors®, and the California Association of REALTORS®. Small discrepancies are expected.


Get answers to all of your real estate questions. If you're interested in learning more about the homes found in Santa Cruz, be sure to contact Lauren Spencer online or call 1.800.226.4717 to learn more about the area.

Posted by Lauren Spencer on
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