The Luxury Report | August 2024 Real Estate Market | Montecito/Hope Ranch/Santa Barbara
Hello Everyone -
As summer officially winds down and we approach the glorious “Second Summer” days of Santa Barbara — lets jump into our comprehensive analysis of the August 2024 South Santa Barbara County and Montecito Real Estate Trends in our latest Luxury Report. Whether you’re planning to invest, sell or simply stay informed—our report provides valuable data and expert analysis to guide your decisions in the ever-evolving South Santa Barbara and Montecito real estate landscape.
THE TALK IS INTEREST RATES | So How Will This Impact Home Loans?
As most are aware, the Federal Reserve finally made it's widely anticipated announcement to cut Interest rates and it was by half a point — more than many were expecting. According to many lending experts, we can cautiously expect minor mortgage rate fluctuations, but not a large drop in the near future.
WHAT IS WORTH CELEBRATING | It Appears The FED's 2 Year Rate Hike Cycle Is Over!
When the Federal Reserve cuts the federal funds rate, it can influence mortgage rates, but it does not directly control them. Mortgage rates are impacted by a variety of factors, including investor demand for mortgage-backed securities, inflation expectations and the overall economic outlook. Sometimes mortgage rates might not move much or could even go up if the market expects inflation or other economic conditions to change. Many of our lenders have communicated that their home loan rates have already factored in and now reflect a lower rate as evidenced by the current rate of around 6.22%±.
take away
We are seeing our available inventory slowly creeping up and when combined with the recent lower mortgage rates, we have a window of opportunity for buyers. This combination means buyers have more choices and bargaining power. While many optimistically wait for rates to make their way further down, we have some homes listed locally that are good values today and excellent long-term, investment grade opportunities that we feel will hold their value—regardless of rates or other economic influences. Reach out to discuss what this all means for your situation — we can talk through the value of properties and put you in touch with a trusted lending partner if necessary.
As We Always Say. . . If you need to Sell—SELL! If you need to Buy—BUY! Waiting for RATE, or PRICES, or INVENTORY is not the best approach when it comes to buying your home.
Contact us for a strategy for success!
Although our area has a significant number of all-cash homebuyers, the recent rate cut could still be impactful. It may help ease financing costs for individuals looking for a mortgage who have been sitting on the sidelines watching and waiting, which could help put deals together for sellers. We anticipate these lower rates to encourage movement in the real estate market going into the holiday season and surely into 2025. Call us for a confidential conversation.
In this highly competitive market—experience matters. We offer extensive market knowledge, world-class marketing and concierge level professional service with complete confidentiality to our clients. Our proven track record of success includes skills necessary to put complicated deals together and negotiate the price and terms that will get your home sold for a premium price and offer accepted on your replacement property—even amongst multiple offers.
Looking for professional + creative results-oriented representation — Let’s Talk!
Some Agents Know The Market
Good Agents Understand The Market
Agents
- southSANTA BARBARA COUNTY
YTD THROUGH AUGUST 2024 | In Review
Single Family Homes + Condominiums
+9% change over 2023
832
SINGLE FAMILY HOMES
TOTAL YTD SALES
+12% change over 2023
594
AVERAGE SALES PRICE
+15% increase over 2023
$3,628,300
MEDIAN SALES PRICE
+7% increase over 2023
$2,200,000
CONDOMINIUM HOMES
TOTAL YTD SALES
+3% change over 2023
238
AVERAGE SALES PRICE
-5% change over 2023
$1,157,935
MEDIAN SALES PRICE
+2% change over 2023
$970,750
AUGUST 2024 | In Review
Single Family Homes + Condominiums
+8% change over August 2023
115
SINGLE FAMILY HOMES
TOTAL SALES
+10% change over August 2023
80
AVERAGE SALES PRICE
+12% increase over August 2023
$3,050,316
MEDIAN SALES PRICE
+10% increase over August 2023
$2,101,000
48
CONDOMINIUM HOMES
TOTAL SALES
+6% change over August 2023
35
AVERAGE SALES PRICE
-21% change over August 2023
$1,167,268
MEDIAN SALES PRICE
-5% change over August 2023
$974,000
$2,477,214
$1,769,000
SANTA BARBARA COUNTY
$2,921,633 YTD
$1,765,000 YTD
BARBARA COUNTY
- south -
SANTA BARBARA COUNTY
- homes | estates | puds | condos -
YTD COMPARED | 2018-2024 SOLD TO ACTIVE INVENTORY
INSIGHT | Active Inventory + Sales are Trending Up YTD. Could this Signal a Recovery From the Lowest SFH Sales of 857 Reported in 2023 for the Entire Year— the Same Level as the decline of 2008?
LUXURY MARKET + AUGUST HIGHLIGHTS
The South Santa Barbara County Real Estate Market has remained unapologetically resilient through 2024 with many qualified and enthusiastic buyers looking for their own slice of paradise in our beautiful coastal community! We still have more buyers than sellers and the available homes for sale is gradually increasing each month.
We have noticed that buyers are making careful decisions as evidenced by the longer time a home takes to sell (DOM) rising to 48 days in August. A closer look shows that well appointed homes priced correctly are the ones selling quickly. While buyers enjoy a slight increase in inventory, ambitiously priced homes are being overlooked, often requiring a price correction—which we are seeing more frequently.
The median sales price for the entire Santa Barbara area has remained at a steady historically high Median Sold Price of $2,101,000 in August for the 80 total SFH sales. In the Luxury Markets, Montecito’s Median Sold Price for August increased to $5,675,000 for the 15 sales while Hope Ranch saw only 3 sales with a Median Sold price at $6,180,000.
The Luxury Market remains undeterred by higher mortgage rates with 80% of homes trading for all cash in Montecito and 43% for the entire area. Off-market deals are still thriving amid inventory scarcity with up to 13% trading privately. We network extensively with other top agents and have been successful in putting many deals together privately.
If you are thinking of selling in the near future, we feel this is an ideal time to take advantage of this exceptional market, Why not capitalize on your home equity with these historically high sold prices and realize a potential phenomenal return on your home investment - Reach Out!
The Ultra Luxury transactions have cooled in August but Montecito did have three properties trading over $10 million (see list of Montecito sales). As of this publishing, there are 49 properties offered over $10 million and 17 offered between $20-$75 million. Contact us for a list of property reports and check back to see what happens in September!
THE IMPLICATIONS OF THE NAR SETTLEMENT
The new business practice changes that all Realtors® and MLSs across the country have now been implemented.
The most significant change is that all buyers must sign a Buyer Representation Agreement (Form-BRBC) with an Agent prior to viewing a listed home. The economics of a real estate transaction will remain the same but the mechanics of the deal with Real Estate Agents will change significantly. It will be imperative for buyers and sellers to understand these changes and consider the benefits of continuing to invest in Buyer Agent compensation.
Finding the house is the easy part . . . navigating the complex process of making an offer, completing the complicated 170+ contract/disclosure documents, inspections, negotiations and more to get the transaction closed, takes a high level of skill and experience.
AVAILABLE PROPERTIES
- Listed Within the in Past 35± Days -
Check out our carefully curated Compass Collection which includes properties we consider to be exceptional, excellent investments and/or good values - call/text/email for details or a private showing at 805.880.6530.
These properties are available at time of publication, but the market is still moving fast due to historically low inventory. Stay ahead of the market by getting in touch for a list of the most up to inventory—including Compass Private Exclusives (off market) and Coming Soon homes that are not available below or on public search sites.
NATIONAL REAL ESTATE INSIGHTS | SEPTEMBER
On September 18th, the Federal Reserve Bank dropped its benchmark rate for the first time since 2020, and many analysts expect further cuts before the end of the year. Inflation has fallen to its lowest reading since early 2021, and mortgage rates are now the lowest since February 2023. Stock markets have been volatile since mid-July, but the S&P 500 & Dow hit new highs on September 19th.
• National sales activity was relatively weak in August 2024: Existing-home sales declined 3.1% from July and 5.7% from August 2023. But sales in August mostly reflect offers accepted in July before many of the positive economic developments mentioned above.
• Year over year, the median single-family-home sales price and the median condo/co-op price in August were up 2.9% and 3.5% respectively: Both have declined from all-time highs hit in June, which is a typical seasonal trend.
• The number of active listings continued to climb, rising 23% from August 2023 to the highest count since autumn 2020. Price reductions on active listings rose 37% year-over-year. These statistics reflect significant 2024 changes in market supply and demand dynamics.
• Approximately 60% of sales went into contract in less than 1 month (vs. 72% in August 2023), 20% sold over list price (vs. 31% last August), and 26% were purchased all-cash (vs. 27%). The median days-on-market to acceptance of offer was 26 days (vs. 20 days last year), and sold listings received an average of 2.4 offers (vs. 3.2). 26% of buyers were purchasing their first home; 7% of homes bought were intended for vacation use; and 8% of buyers purchased without seeing the property in person. Distressed-property sales made up only 1% of sales.
• Approximately 18% of August buyers waived their inspection contingency, and 20% waived the appraisal contingency. 14% of June-August contracts saw delays in scheduled close of escrow, and 5% of contracts were terminated before completion of sale.
MONTECITO
AUGUST 2024 | In Review
Single Family Homes + Condominiums (combined sales)
15
AVERAGE SALES PRICE
+20% change from August 2023
$5,997,558
MEDIAN SALES PRICE
+73% change from August 2023
$5,675,000
HIGHEST SALES PRICE
2039 Boundary Drive Montecito CA 93108
$11,050,000
LOWEST SALES PRICE
1930 N Jameson Lane, A Montecito CA 93108
$1,270,000 Condominium Home
TOTAL AVERAGE DAY ON MARKET
50 SOLD TO ORIGINAL LIST PRICE 94%
MONTECITO AUGUST 2024 | 15 TRANSACTIONS
- homes | estates | puds | condosSOLD VOLUME | AUGUST 2024 Distributed by Price Range
15 sales
AUGUST TOTAL SALES
84 Total Transactions Dollars In Millions
80% AUGUST 2024 SALES ALL CASH 12 of the 15 Total Sales
13% AUGUST 2024 SALES OFF MARKET 2 of the 15 Total Sales
Year Trend | 2004—August 2024
$7,646,222 YTD
$5,057,500 YTD
HOPE RANCH
HOPE RANCH
AUGUST 2024 | In Review
Single Family Homes (no condos in Hope Ranch)
0% change over 2023
3
AVERAGE SALES PRICE
+24% change from August 2023
$6,134,183
MEDIAN SALES PRICE
+25% change from August 2023
$6,180,000
HIGHEST SALES PRICE
4045 Lago Drive
Hope Ranch CA 93110
$6,272,550
LOWEST SALES PRICE
4312 Via Glorieta Hope Ranch CA 93110
$5,950,000
HOPE RANCH YTD 2024 | 14 TRANSACTIONS
HOPE RANCH
- homes | estates | puds -
SALES THROUGH AUGUST 2024
Distributed by Price Range
YTD 2024 SALES 14 Total Transactions Dollars In Millions
RANCH
20 Year Trend | 2005— August 2024
$5,737,500 YTD $7,035,000 YTD
SANTA BARBARA
Review BARBARA
2716 CUESTA ROAD | SANTA BARBARA
Samarkand Neighborhood | Mountain + Coastal Views
4 BD | 3 BA | 2058± SF | Extra 625± Lower Level | 0.25± AC
Offered at $2,997,000 / Pending + Accepting Backups
Exclusive Offering by Randy Haden/Molly Haden
SANTA BARBARA
AUGUST 2024 | IN REVIEW
Single Family Homes + Condominiums (combined sales)
AVERAGE SALES PRICE
-6% change from August 2023
$2,189,939
MEDIAN SALES PRICE
0% change from August 2023
$1,855,000
HIGHEST SALES PRICE
1615 La Vista Del Oceano Santa Barbara CA 93110
$6,750,000
LOWEST SALES PRICE
1066 Miramonte Drive 3 Santa Barbara CA 93105
$714,000 Condominium Home
AUGUST 2024 | IN REVIEW
Single Family Homes + Condominiums (combined sales)
AVERAGE SALES PRICE
n/a change from August 2023
$1,465,000
MEDIAN SALES PRICE
n/a change from August 2023
$1,465,000
HIGHEST SALES PRICE
2304 Varley Street
Summerland CA 93067
$1,465,000
LOWEST SALES PRICE
2304 Varley Street
Summerland CA 93067
$1,465,000
CARPINTERIA
AUGUST
2024 | IN REVIEW
Single Family Homes + Condominiums (combined sales)
AVERAGE SALES PRICE
+18% change from August 2023
$887,962
MEDIAN SALES PRICE
-7% change from August 2023
$852,000
HIGHEST SALES PRICE
1258 Cravens Lane 1
Carpinteria CA 93013
$1,205,661 Condominium Home
LOWEST SALES PRICE
5930 Birch Street 4 Carpinteria CA 93013
$675,000 Condominium Home
AUGUST 2024 | IN REVIEW
Single Family Homes + Condominiums (combined sales)
AVERAGE SALES PRICE
-1% change from August 2023
$1,478,799
MEDIAN SALES PRICE
+10% change from August 2023
$1,345,000
HIGHEST SALES PRICE
1400/1402 N Fairview Avenue Goleta CA 93117
$6,375,000
LOWEST SALES PRICE
7883 Whimbrel Lane Goleta CA 93117
$548,380 Condominium Home
CONCIERGE Real Estate Service
EXPERT PERSPECTIVE
Now more than ever you need an expert advisor on your side who can provide comprehensive analysis and exclusive insights into today’s fast-paced housing market. We see every luxury property available and know the market. Our commitment to staying educated on what’s happening with economic news, the real estate market, local sales and listings is essential to your success when buying or selling properties.
CONCIERGE SERVICE
We strive to deliver a high level of personalized service—personally! We provide our clients with cutting-edge strategies that produce ideal results. Our exceptional service is driven by efficient communication, understanding your needs and having expansive industry resources— combined with expert knowledge of the extensive contracts and required forms to protect your best interests. The process comes together as a result of our years of successful negotiating which leads to a winning deal. We listen carefully, anticipate your needs, execute the deal and handle all the details. The hard work starts when a contract is in place so you will be happy you chose representation experienced in closing the deal smoothly.
COMMUNITY INVESTMENT
Sell a Home | Build a Home initiative. We are deeply connected and committed to the communities in which we live and work. Haden Homes Luxury Property Group has made a pledge to help individuals with housing needs by partnering with Habitat for Humanity. For every home that our clients buy or sell, Haden Homes makes a donation to Santa Barbara’s Habitat for Humanity.
DISCRETION
Privacy is the Ultimate Commodity And the Decision to Sell Your Home Is a Personal One.
FLEXIBILITY
Decide When to Share Details About Your Home - Including PriceMore Expansively On Your Own Timing.
QUALITY
Exclusive Exposure To Compass Agents, Including Premium Placements On Agent Facing Platform.
VALUE
Get the Best Offer by Testing The Market Privately to Gather Key Insights Without Your Listing Getting Stale or Overexposed.
COMPASS PRIVATE EXCLUSIVE LISTINGS
Ask Us About Our Exciting Private Exclusive Listings | Contact Us Live For details!
A Compass Private Exclusive listing is an off-market home that can be shared by a Compass agent directly with their colleagues and their buyers. Property details are not disseminated widely and won’t appear on public home search websites.
Listing your home as a private exclusive allows you to control what information is shared about you and your home while still getting exposure to top agents at Compass.
TALK IS THE NAR
MORTGAGE RATES+ MORE | click link for full article
Mortgage Rates Forecast For 2024: Experts Predict How Much Rates Will Drop
Inman Article | Why Buyer Representation Should Matter So Much To Sellers
90% of Homebuyers Have Historically Opted to Work with a Real Estate Agent or Broker. Here’s Why That's Unlikely to Change, According to NAR
The Best Time to Buy a Home is Rapidly Approaching, According to Experts
6 Smart Renovations That Will Add Value to Your Home, Experts Say
The Best Home Stores in 2024, According to Experts Discover 52 new places to shop and find inspiration
DATA SOURCES | LISTING DISCLOSURE
All information provided is deemed reliable but has not been verified. We do not guarantee it and recommend buyers make their own inquiries. Data source Fidelity National Title of Santa Barbara, CORT and Santa Barbara MLS. INdata Real Estate Market Reporting through August 2024.
Properties featured are courtesy of the Santa Barbara MLS and are available for sale at time of publication. They may be listed by brokers and/or agents other than Compass or Haden Homes Luxury Property Group. Contact us for details or to set up a private showing at 805.880.6530.
