Anaheim Market Update - January 2026

Supply Metrics

Demand Metrics

Pricing Metrics

Market Timing

Challenges

• Significantly longer time on market - properties taking 47.1% longer to sell (25 days vs. 17 previously), the biggest slowdown indicator.
• Sharp drop in buyer activity - pending sales plummeted 31.7%, showing reduced buyer urgency.
• Declining transaction volume - closed sales down 9.4% and total volume down 4.7%, indicating market deceleration.
• Growing competition - active inventory up 3.8% while demand falls, creating more competition among sellers.

Opportunities

• Strong price appreciation - median price up 4.3% to $910,000, still gaining value despite slowdown.
• Premium pricing maintained - sellers getting 100% of asking price on average, showing pricing power remains intact.
• Minimal discounting required - only 0.7% difference between original and final price, almost no negotiation needed.
• Low inventory environment - 1.9 months supply still heavily favors sellers (6 months = balanced market).
• Price per sq ft rising - up 3.4% to $607, showing quality properties command premium pricing.

Seller Strategy

• Price aggressively but fairly - with 25 days on market, overpricing will be costly.
• Expect longer marketing period - plan for 3-4 weeks instead of immediate offers.
• Prepare property meticulously - condition matters more in slower markets.
• Be ready to show more - fewer buyers means each showing is more critical.
• Don't panic on pricing - you're still getting full asking price, just taking longer.

Opportunities

• Much more time to decide - 47.1% longer market time means less pressure to make instant decisions.
• Reduced competition - 31.7% fewer pending sales means you're competing against fewer buyers.
• Slightly more selection - active inventory up 3.8% gives marginally more choices.
• New inventory coming - new listings up 6.3% means fresh options entering market.
• Leverage on longer listings - properties sitting 25+ days may be more negotiable.

Challenges

• Prices still rising fast - up 4.3% to $910,000 median, no price relief in sight.
• Zero negotiation room - sellers still getting 100% of asking price typically.
• Critically low inventory - 1.9 months supply means very limited choices (6 months = balanced).
• Higher per sq ft costs - up 3.4% to $607, paying more for less space.
• Properties still moving - 25 days isn't slow - quality homes still selling quickly.

Buyer Strategy

• Don't expect major discounts - full asking price offers are still standard.
• You have slightly more breathing room than in previous years but sellers still control the market.
• Act within 30 days of listing - properties sitting longer may have issues.
• 1.9 months supply means act decisively on the right property.
• Focus on properties listed 15-25 days - sweet spot for potential negotiation.
• Get pre-approved and ready to move - limited inventory means hesitation costs opportunities.

This is a transitioning seller's market - still strongly favorable to sellers but showing clear signs of deceleration. The 47.1% increase in days on market is the most significant indicator of changing dynamics, while the 31.7% drop in pending sales shows buyer caution.

However, with only 1.9 months of inventory (well below the 6-month balanced threshold) and prices still rising 4.3%, sellers maintain substantial advantage. The market hasn't shifted to buyers - it's simply become less frantic for sellers.

Key takeaway: sellers can still command full asking prices but must accept longer marketing timelines. Buyers gain slightly more negotiating leverage but face continued price appreciation and limited inventory. This represents a "slower seller's market" rather than a balanced or buyer's market.