Orange County Housing Market Update – January 2026

January 2026 brings a clearer picture of where the Orange County housing market is heading. Buyers are watching interest rates closely, sellers are adjusting expectations, and inventory levels are creating opportunities in specific pockets of the county.

Below is a breakdown of what’s happening right now — and what it means for you if you’re planning to buy or sell in Orange County.

Orange County Home Prices – January 2026

Home prices across Orange County remain resilient, though appreciation has slowed compared to the peak years. Well-priced homes in desirable neighborhoods are still selling, while overpriced listings are sitting longer and seeing price reductions.

• Median home prices remain near historic highs
• Move-in-ready homes attract the most buyer activity
• Luxury and coastal markets are more price-sensitive

Inventory Levels and Housing Supply

Inventory has increased compared to early 2025, giving buyers more choices than they’ve had in recent years. However, Orange County is still far from an oversupply, especially in family-friendly and high-demand cities.

• More listings than last year, but still below long-term averages
• Condos and townhomes make up a growing share of available inventory
• Homes priced correctly are selling faster than the county average

Days on Market and Buyer Activity

Homes are taking longer to sell compared to the ultra-competitive years, but buyer demand has not disappeared. Instead, buyers are being more selective and strategic.

• Average days on market has increased
• Multiple offers still happen for standout properties
• Buyers are negotiating more on price and terms

Is It a Buyer’s or Seller’s Market in Orange County?

As of January 2026, Orange County is best described as a balanced market with pockets of opportunity. Some neighborhoods lean buyer-friendly, while others still favor sellers.

This makes hyper-local pricing and strategy more important than ever.

What This Means for Buyers

Buyers today have more leverage than they did in recent years. With increased inventory and longer days on market, opportunities exist — especially for prepared buyers.

• More room for negotiation
• Opportunities on homes with recent price reductions
• Less competition compared to peak years

If you’re buying, timing and local insight matter.

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What This Means for Sellers

Sellers who price strategically and prepare their homes properly are still achieving strong results. The key difference in 2026 is that buyers are no longer forgiving of overpricing.

• Accurate pricing is critical
• Presentation and condition matter more
• Homes that miss the market early tend to sit longer

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Orange County Market Outlook for 2026

Looking ahead, Orange County real estate continues to benefit from limited land, strong job centers, and long-term demand. While the pace of appreciation may remain moderate, well-located homes are expected to hold value.

If you’re planning a move this year, having a local strategy — not just market headlines — will make the biggest difference.

Talk With a Local Orange County Agent