If you’ve been watching the Costa Mesa housing market over the past few years, you already know the story: low inventory, intense competition, multiple offers, and prices that felt like they were climbing nonstop. But as we move into early 2026, the tone of the market is beginning to shift — not into a downturn, but into something that feels a little more… balanced.
And for both buyers and sellers, that shift matters.
Let’s take a closer look at what’s really happening in Costa Mesa real estate right now.
Home Prices in Costa Mesa: Still High, but Growing More Slowly
The median sale price in Costa Mesa is currently around $1.6 million. Prices are still high, but instead of the double-digit surges we saw earlier in the cycle, appreciation is now closer to 1 to 2 percent year-over-year.
Average home value estimates sit near $1.34 million, reflecting a market that is growing steadily rather than racing ahead.
In short:
Costa Mesa is still a premium market — but price growth has shifted from “full sprint” to “strong power walk.”
Competition Is Still Strong — But No Longer Chaotic
Costa Mesa continues to rank as a competitive market. Homes still receive multiple offers, especially when they’re priced correctly and show beautifully.
However, the typical days on market now range from about 46 to 53 days, which is slightly longer than a year ago. That extra time gives buyers more breathing room and requires sellers to be sharper and more strategic.
It’s no longer about simply listing a home. It’s about:
thoughtful pricing
compelling presentation
strategic marketing
That’s where the difference is made.
Inventory Is Slowly Improving — With More Change Expected in 2026
Active listings across Costa Mesa are currently in the mid-hundreds. That’s still tight for demand, but it’s much better than the record-low inventory levels we saw in recent years.
Multiple market reports point to inventory continuing to rise into 2026, driven by:
- more homeowners deciding it’s finally time to move
- stabilizing mortgage rates
- life events that waited out the frenzy now resuming
More listings mean more options. More options mean a more balanced market. And a more balanced market benefits both sides when guided by the right strategy.
Neighborhood Snapshots: Costa Mesa Is Not One-Size-Fits-All
Citywide, the median sale price is around $1.67 million, but Costa Mesa is a market defined by its micro-neighborhoods.
Here’s what that looks like:
- Eastside Costa Mesa — often above $2.5 million, especially for newer builds and upgraded homes
- Central Costa Mesa & Downtown areas — often closer to the low $1 million range
- Mesa Verde & Island Streets — desirable, lifestyle-driven communities with strong price stability
Price per square foot averages around $792, with premium pockets reaching $900 to $1,050 per square foot.
Location still matters. Lifestyle still matters. Story still matters.
Where Costa Mesa Real Estate Is Headed in 2026
Regional outlooks suggest Orange County is moving toward a more steady, balanced market in 2026 as:
- mortgage rates ease slightly
- inventory increases
- more buyers re-enter the market after waiting on the sidelines
This isn’t a crash. It’s a calm.
And in calmer markets, strategy becomes everything.
What This Means for Buyers
This may be one of the best windows we’ve seen in years to:
- explore options
- negotiate terms
- avoid the peak bidding-war chaos
Serious, well-qualified buyers now have space to think — instead of racing to decide by the end of a showing.
What This Means for Sellers
Homes still sell for strong prices in Costa Mesa — but presentation, pricing, and marketing matter again.
Sellers who:
prepare their home
price with precision
leverage high-quality marketing
will continue to perform extremely well.
Those who simply “list and hope” will sit.
The Big Picture: From Frenzy to Balance
Costa Mesa isn’t cooling.
It’s maturing.
We’re shifting from reaction-based real estate to strategy-driven real estate — and that’s where having the right advisor by your side makes all the difference.
If you want to talk timing, strategy, or what this market means for your goals, I’d love to connect.
I’m Sunny, your trusted real estate advisor. Follow for updates, market trends, and hidden gems across Orange County — and comment below if you want a custom Costa Mesa market breakdown or home value update.