The Orange County real estate market is shifting—and if you blink, you might miss the nuances that separate smart strategy from wishful thinking.
Lately, I’ve been hearing a chorus of voices declaring that we’re heading into a buyer’s market. But hold on. Before we jump to conclusions, let’s take a closer look at what’s really happening on the ground. As of June 4th, 2025, we’re in a season full of contradictions, and I’d argue we’re not in a buyer’s market—not quite a seller’s market either. What we’ve got is a market that demands strategy over assumptions.
Let’s start with the numbers. In the last 30 days, 1,828 homes closed escrow via the MLS here in Orange County. Sounds like solid activity, right? But contrast that with the 5,742 homes currently listed for sale. That’s more than triple the number of homes sold. And it’s not even the slow season—this is summer, when activity is supposed to heat up. What this means for sellers is crystal clear: competition is fierce, and overpriced listings are sitting.
You can almost hear the red arrows dropping. In the MLS, there’s a little icon—a red arrow pointing down—next to homes that have had a price reduction. When I scroll through listings, it’s like watching a red confetti cannon go off once properties hit that 30-day mark. That tells you something: sellers are adjusting their expectations because they’re realizing they’re not alone in the ring.
But why is this happening if inventory is still relatively low?
The key factor isn’t supply and demand in the traditional sense. It’s affordability. There is still plenty of demand—buyers want homes. But the challenge is they simply can’t afford them. Between high interest rates and a steep cost of living, potential buyers are stretching themselves to their financial limits just to get in the game. And when they do, they’re picky. Very picky.
So here’s where the strategy comes in. If you’re a seller, you need to read the room. Gone are the days of throwing your home on the market with chipped paint, dated fixtures, and a hope that someone will love it as-is. Today’s buyers, especially those paying $1.5 to $3 million, want turnkey. They’re maxing out their budgets on the purchase alone—they don’t have an extra few hundred grand lying around to make improvements after the fact.
That doesn’t mean all is lost if your home needs work. There are smart options. One is to work with contractors who offer deferred payment programs—they’ll do the renovations upfront and get paid out of escrow once the home sells. This approach can dramatically improve your sale price and net you more in the end.
Another powerful strategy, especially for homes in probate or trust sales, is not to settle for a quick cash offer. These properties are still valuable and in demand, even with flaws. The key is to market them in a way that attracts multiple buyers and sparks competition. I walk my clients through this process all the time, and I go deeper into these tactics in my book, The Fixer Upper Trap, which you can find on Amazon. It’s packed with insights on how to turn a tired property into top-dollar gold.
So where does that leave us? In a market that’s demanding more from everyone. Sellers must be savvy, realistic, and proactive. Buyers need to be sharp and prepared. And agents? Well, we need to be dialed into the shifts and ready to pivot with our clients.
Stay tuned—the next couple of months will be telling. If you’re thinking of making a move, let’s talk strategy. The right plan can mean the difference between sitting and selling, between frustration and financial success.
Let’s make it work in your favor.
Related Content
If you ‘ve enjoyed this article consider looking at some of these.
