The Wait: What’s Really Going On in the Orange County Housing Market?

If it feels like homes are taking longer to sell this summer, you’re not imagining things.

According to the latest Orange County Housing Report (July 22, 2025), we’ve officially entered a season experts are calling “The Wait.” Homes are sitting longer — the average time on market has climbed to 96 days, the slowest pace we’ve seen in mid-July since 2011.

So what’s behind this market pause — and what should buyers, sellers, and investors be doing right now? Let’s break it down.

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Why the OC Market Has Slowed Down

It’s not just one factor. We’re seeing a combination of:

• Increased Inventory – There are 50% more homes for sale than this time last year.
• Stable Demand – Buyer activity is up just 3% from last year.
• Affordability Pressure – The 30-year fixed mortgage rate is hovering around 7%, which is sidelining some would-be buyers and stretching others thin.

Even in high-demand areas like Rancho Mission Viejo, Ladera Ranch, and Dana Point, homes are taking longer to sell — especially if they’re overpriced or not properly prepared for the market.

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For Sellers: Now’s the Time to Get Strategic

If your home is on the market and you’re not getting traction, you’re not alone. Buyers are being more selective — they want homes that show well, feel fairly priced, and check key boxes like location, layout, and upgrades.

Here’s what’s working in this market:

• Price it right the first time — buyers are being more cautious about offers and pricing
• Make a great first impression — staging, pro photography, and curb appeal are non-negotiable.
• Be flexible — homes that are sitting 30+ days often require a re-evaluation of strategy or price.

If you’re not sure where your home stands, I’m happy to offer a no-pressure strategy session.

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For Buyers: It’s a Market of Opportunity — Not Panic

Some buyers are waiting for major price drops — but this isn’t 2008. Sellers aren’t in distress, and inventory is still below normal in many South OC neighborhoods.

The good news? Many sellers are willing to negotiate — especially if their home has been sitting. You may not get a steal, but you can get a fair deal with the right timing, terms, and lender strategy.

If you’ve been waiting for more options, this might be your moment — and if rates do drop later this year, you can always refinance.

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Let’s Build a Smart Plan Together

Whether you’re considering downsizing, moving up, or just curious about how today’s market impacts your long-term goals, I’m here to help you navigate with confidence.

I combine my experience as a broker associate, mortgage loan originator, investor, and listing specialist to help my clients make informed, strategic moves — even in uncertain times.

Call or text: 949-528-8676
Email: WalkerTeamOC@gmail.com
Learn more: www.WalkerTeam-OC.com

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Stay Tuned: Relief May Be Coming

The Federal Reserve and Fannie Mae are projecting two rate cuts by the end of 2025, with the first potentially coming in September. Goldman Sachs, meanwhile, is forecasting three cuts, also beginning in September.

What do you think will happen? Will rates soften just in time for the fall market? Will more buyers re-enter the conversation?

I’ll be watching it closely — and keeping you in the loop every step of the way.

Until then, stay well and stay informed.
— Tarah