Santa Rosa Housing Market: Prices, Inventory, Days On Market

Are Santa Rosa home prices moving up or cooling off? If you are thinking about buying or selling, the market can feel noisy and uncertain. You want a clear read on where prices, inventory, and days on market stand so you can time your move and negotiate with confidence. In this guide, you will learn how to read Santa Rosa’s core housing metrics and translate them into practical steps for your next decision. Let’s dive in.

Key metrics to watch in Santa Rosa

Median sale price: what it means

The median sale price is the middle price of all homes sold in a period. It helps you track value without getting skewed by a single unusually high or low sale. Watching both month-to-month and year-over-year changes gives you a sense of short-term movement versus the longer trend.

Keep in mind that the median can shift when the mix of homes changes. For example, if more condos close in a month than single-family homes, the median may dip even if underlying demand remains steady.

Inventory and months of inventory

Inventory is the number of active listings at a point in time. Months of inventory (MOI) compares supply to demand. It is calculated as active listings divided by the average number of homes sold per month. A 3-month average for sales helps smooth the bumps.

• Less than 2 months of inventory is commonly viewed as a seller’s market with tight supply and upward price pressure.
• Around 4 to 6 months suggests a balanced market.
• More than 6 months points to a buyer’s market with more choices and downward price pressure.

Another way to see market speed is the absorption rate. This is monthly sales divided by active listings. Higher absorption usually means faster movement and firmer pricing.

Days on market (DOM)

DOM measures how long it takes a listing to go under contract or close. Lower DOM often signals stronger seller leverage and faster sales. Rising DOM often signals a cooling market, more negotiation room, and the need for sharper pricing or incentives.

DOM can vary by how the MLS counts it. Some systems reset DOM when a listing is withdrawn and relisted. Treat it as a directional measure, and pair it with inventory and list-to-sale price ratios for a fuller picture.

Supporting signals worth tracking

• List-to-sale price ratio: Over 100 percent usually means multiple offers and bidding above list. Below 100 percent often means buyers are securing discounts.
• New listings vs pending sales: If new listings outpace pendings, supply is building. If pendings outpace new listings, demand is absorbing what is available.
• Price reductions: A rising share of reductions points to softening conditions.
• Price per square foot: Helpful for neighborhood comparisons, especially with different home ages and lot sizes.

How to read the market together

Look at the metrics as a set rather than in isolation. Low inventory, falling DOM, and a list-to-sale ratio above 100 percent indicate strong seller advantage. Rising inventory, lengthening DOM, and ratios below 100 percent point to growing buyer leverage.

Watch 3-month and 12-month trends to get past short-term noise. Seasonal swings are normal. Spring in California tends to see more listings, faster pace, and firmer pricing. Late fall and winter typically bring longer DOM and more room for negotiation.

Santa Rosa drivers that shape the numbers

Local jobs and migration

Santa Rosa demand draws from health care, education, wine and agribusiness, tourism, and commuting ties across Sonoma County and the wider Bay Area. Moves from the inner Bay Area into the North Bay and inland Sonoma have influenced demand over the past decade.

Housing stock and product mix

Santa Rosa’s inventory spans older single-family homes, newer subdivisions, and a meaningful share of condos and townhomes near central corridors. Lot size, age, and condition can vary widely. These differences affect price per square foot and DOM by neighborhood and property type.

Seasonality you can count on

Spring often delivers more listings and faster absorption. Late fall and winter generally slow, with fewer active buyers and higher average DOM. Seasonal patterns are helpful context, but always weigh them against current affordability and insurance dynamics.

Wildfire and insurance considerations

Sonoma County has elevated wildfire exposure relative to many inland markets. Risk and insurance availability can influence the buyer pool, lender requirements, and negotiations. Higher premiums or tighter underwriting may lead buyers to request credits, seller-paid short-term coverage, or extended timelines to secure a policy. Sellers who prepare for insurance questions early reduce friction and can protect their pricing power.

Affordability and interest rates

Mortgage rate moves directly impact purchasing power. When rates rise, some buyers pause or adjust budgets, which can lengthen DOM and increase the need for concessions. When rates stabilize or fall, buyer activity often improves, even if inventory remains tight.

Local planning and rebuilding

Post-fire building codes, permitting timelines, and fees affect how quickly new supply hits the market. Zoning and planning policies in the City of Santa Rosa also shape where and how housing grows, influencing neighborhood-level dynamics.

Strategy for sellers

Price with the trend

• In tighter conditions with low MOI and low DOM, price competitively to attract multiple offers. Consider a defined marketing window and a clear offer review date to concentrate interest.
• In cooling conditions with rising MOI, longer DOM, and more price reductions, anchor to recent comparable sales and be ready for buyers to negotiate on price and credits.

Time your listing

Spring often brings more demand and shorter DOM. That said, insurance shifts or rate changes can override seasonality. If your property is highly unique, early coordination can help you catch the right buyers whenever they are active.

Use levers beyond price

Credits for closing costs, flexible possession dates, home warranties, and repair credits can bridge gaps. Pre-list inspections and addressing high-friction items in advance can reduce surprises and keep your timeline on track.

Elevate presentation

When the market slows, outstanding staging, photography, video, and narrative marketing help your home stand out. Small updates and thoughtful repairs often shorten DOM and protect your net.

Strategy for buyers

Prepare to move with confidence

Get fully pre-approved and understand your monthly payment at several price and rate points. If the market is moving fast in your segment, you may need strong terms or escalation strategies. Protect your interests on inspections and appraisal unless you are fully comfortable with the risks.

Negotiate smart in slower pockets

If DOM is trending up and price reductions are common, you may have room to negotiate on price and request seller credits. Tie requests to inspection findings, insurance costs, or needed updates. Ask early about insurance quotes so you are not surprised after you are in contract.

Time your search

Spring usually offers more choices, but also more competition. If you can act quickly and have your financing ready, you can benefit from the larger pool of listings. In a cooling stretch, patience can pay off with better terms, though you should still focus on long-term value and total cost of ownership.

Santa Rosa due diligence

Be thorough on wildfire defensible space, roof and foundation, septic or well (where relevant), and the condition of older systems. Confirm insurance availability and cost before finalizing your offer so your numbers hold together.

Neighborhood and property-type notes

Santa Rosa is a city of micro-markets. Central areas with more condos and townhomes may show different median prices and DOM than single-family neighborhoods on the west or south side. Older homes with larger lots can trade at different price-per-square-foot levels than newer subdivisions. Small sample sizes can make neighborhood medians jump from month to month, so pair the data with recent comparable sales and on-the-ground context.

What to track each month

Use your local MLS summary or the Sonoma County Association of REALTORS monthly snapshot to check:

• Median sale price for single-family and condos, plus 3- and 12-month trends.
• Active listings and the percent change from last year.
• Months of inventory using a 3-month trailing sales average.
• Median DOM and its 3-month trend.
• List-to-sale price ratio and the share of price reductions.
• New listings versus pendings for the past 30 days.
• Median price per square foot for the neighborhoods you are watching.

If you want one takeaway, read price, inventory, and DOM together. That combination tells you who has leverage and how to calibrate your offer or list strategy.

Ready to move with clarity?

You deserve calm, data-grounded guidance and a plan shaped around your lifestyle. Whether you are pursuing a classic in-town home, a country property with acreage, or a character-rich estate, our team pairs market analytics with discreet access to both on-market and curated off-market opportunities. If you would like a local read on today’s price, inventory, and DOM in your segment, request a personal consultation with the The Hedges • Davis Group.

FAQs

Should I buy now or wait in Santa Rosa?

• Review months of inventory, DOM, and your financing; if MOI and DOM are rising, you may gain leverage, but balance that with rates and insurance costs.

Is it a good time to sell a Santa Rosa home?

• If inventory is tight, DOM is short, and list-to-sale ratios are above 100 percent, sellers have an edge; if not, price to recent comps and prepare for negotiation.

How much over or under list should I offer?

• Let recent list-to-sale ratios and neighborhood comps guide you; in fast segments, offers at or above list are common, while slower pockets allow for discounts or credits.

How long does it take to sell in Santa Rosa?

• Use current median DOM and note seasonality; spring typically shortens timelines, while late fall and winter often extend them.

How do wildfire risk and insurance affect deals?

• Insurance availability and premiums can narrow the buyer pool and change terms; expect requests for credits or added time to secure coverage.

Which Santa Rosa areas are most competitive right now?

• Compare neighborhood-level DOM, price per square foot, and inventory; micro-markets vary, and smaller sample sizes can cause quick swings.