What's Happening in Orange County's Luxury Real Estate Market: May 2026

If you are buying or selling a luxury home in Orange County, priced above $2.5 million, the market looks very different from the broader housing landscape right now. Here is the breakdown.

Luxury Inventory Is Rising

In the past two weeks, luxury inventory increased by 54 homes, up 5 percent, to 1,041 active listings. That is a meaningful jump, putting more options in front of buyers while increasing competition among sellers.

Year over year, luxury inventory is actually down 15 percent, so while it is growing, it is still tighter than it was a year ago.

Luxury Demand Is Slowing

Luxury demand, pending sales above $2.5 million, dropped by 12 in the past two weeks, down 6 percent, to 199. That combination of rising supply and falling demand has pushed Expected Market Time for luxury homes to 167 days, the slowest reading since January.

To put that in perspective: at today's pace, a luxury seller listing now could expect to close around November 2026.

The Breakdown by Price Point

• Homes from $2.5 million to $4 million: Expected Market Time increased from 115 to 128 days
• Homes from $4 million to $6 million: increased from 142 to 177 days
• Homes above $6 million: increased from 281 to 295 days

The higher the price, the longer the wait. That has been a consistent theme, and it is getting more pronounced.

What This Means for Luxury Buyers

This is one of the better windows for luxury buyers in the past couple of years. More inventory, longer days on market, and sellers who are increasingly motivated. There is real room to negotiate: on price, on terms, and on concessions.

What This Means for Luxury Sellers

Exceptional presentation, strategic pricing, and global marketing reach are non negotiable right now. With homes sitting for five plus months on average, you cannot afford to launch at the wrong price. A strong first two weeks on market is everything.

Through FirstTeam Real Estate, I have access to Luxury Portfolio International and LuxuryRealEstate.com, reaching buyers in 60 plus countries. If you are thinking about selling a luxury property, let us talk about what it takes to stand out.