Santa Cruz County - Q2 2025 Market Overview

Santa Cruz inventory rose sharply this quarter, hitting its highest levels in over three years and surpassing 600 active listings—a sign of growing seller participation or potential seasonal buildup. However, closed sales are recovering more modestly, with activity still well below 2022 highs, reflecting cautious buyer behavior. Median sales prices have bounced between $1.1M and $1.3M throughout the quarter, lacking a clear upward or downward trend. Price per square foot remains volatile, averaging around $825, and still short of the $900+ highs seen in early 2022 and late 2023. Average days on market hovered near 30, consistent with pre-pandemic norms and suggesting balanced, if subdued, buyer engagement. Despite the inventory surge, pricing remains sticky, and the market continues to shift in favor of buyers seeking leverage in a slower-moving environment.