Are Tustin home prices increasing or decreasing? Is it a buyer's or seller's market?

The Tustin, California real estate market is shifting as we approach the end of 2026. Home prices are stabilizing, inventory is increasing, and properties are taking longer to sell.

Here's a breakdown of the latest housing trends for single-family homes, condominiums, and townhomes in Tustin, Orange County.

Tustin Real Estate Market Statistics – November 2026

• Median home sale price: $1,185,000

• Annual price change: 0% (unchanged)

• Median days on market: 17 days, up 4 days year over year

• Homes currently for sale: Approximately 144

• Months of inventory: 2.8 months

• Closed sales (past 12 months): 421, down 4.1%

• Market trend: More inventory, slower sales, and increased buyer negotiating power

Tustin Single-Family Home Market

• Median sale price: $1,365,000

• Annual price change: Down 0.7%

• Median days on market: 12 days

• Average price per square foot (median): $707

• Closed sales (past 12 months): 225

• Sale-to-list price ratio: 99.3%

What does this mean?

• Detached homes remain in demand, particularly in Tustin Ranch.

• Updated homes generally sell faster than properties needing renovations.

• Buyers are more selective about price, location, and condition.

• Overpriced homes are experiencing longer marketing periods.

Tustin Condominium Market

• Median asking price: Approximately $780,000

• Market trend: Increased competition and greater price sensitivity

• Affordability: Generally the lowest-priced ownership option in Tustin

What should condo buyers and sellers know?

• HOA fees affect monthly affordability.

• HOA reserves, insurance, and special assessments can influence property values.

• Buyers are carefully reviewing association finances.

• Well-maintained, competitively priced condos remain attractive to first-time buyers.

Tustin Townhome Market

Condominiums and townhomes are combined in the following closed-sale statistics:

• Median sale price: $820,000

• Annual price change: Up 0.6%

• Median days on market: 23 days

• Median price per square foot: $630

• Closed sales (past 12 months): 196

• Sale-to-list price ratio: 98.9%

What makes townhomes attractive?

• Generally more affordable than detached single-family homes.

• Often offer attached garages and larger floor plans than condos.

• Popular in Tustin Legacy and Tustin Ranch.

• HOA fees and Mello-Roos taxes can increase ownership costs.

• Multilevel floor plans may limit appeal to some buyers.

Are Tustin Home Prices Dropping in 2026?

The answer depends on the property type and reporting period.

• Single-family homes: Down 0.7% annually.

• Condos and townhomes combined: Up 0.6% annually.

• Overall median home price: Approximately unchanged over 12 months.

• Redfin's September 2026 three-month snapshot: Median sale price down approximately 4.9% year over year.

• Zillow's August 2026 Home Value Index: Typical home value up approximately 0.2% annually.

These statistics use different methodologies and time periods, but they indicate that Tustin home price appreciation has slowed considerably.

Which Tustin Neighborhoods Are Most Desirable?

Tustin Ranch (92782)

• Established single-family neighborhoods and townhome communities.

• Popular with families and move-up buyers.

• Parks, shopping, and access to highly regarded schools.

Tustin Legacy (92782)

• Newer homes, condos, and townhomes.

• Modern construction and community amenities.

• HOA fees and Mello-Roos assessments vary by property.

Old Town Tustin (92780)

• Historic homes and established neighborhoods.

• Walkable restaurants, shopping, and local businesses.

• Property values vary significantly based on condition, lot size, and renovations.

Is Tustin a Buyer's or Seller's Market?

Tustin is becoming more balanced, although available inventory remains relatively limited.

For buyers:

• More homes to choose from.

• Increased opportunities to negotiate.

• More price reductions on overpriced listings.

• Opportunities to request repairs or closing-cost credits.

For sellers:

• Correct pricing is increasingly important.

• Updated, move-in-ready homes have an advantage.

• Professional marketing and presentation remain essential.

• Pricing based on older comparable sales can lead to longer market times.

Tustin Real Estate Market Forecast – Late 2026 and Early 2027

My expectations for the coming months:

• Home prices will likely remain relatively stable, with differences by neighborhood and property type.

• Buyers will continue focusing on affordability and mortgage rates.

• Single-family homes should benefit from the limited supply of detached housing.

• Condos and townhomes may face additional pressure from rising HOA expenses.

• The holiday season could create opportunities for buyers negotiating with motivated sellers.

Bottom line: Tustin remains one of Orange County's desirable housing markets, but buyers have more negotiating leverage than they did in recent years.

What Is My Tustin Home Worth?

Whether you're buying or selling a single-family home, condominium, or townhome in Tustin Ranch, Tustin Legacy, or Old Town Tustin, understanding current comparable sales is essential.

With over 21 years of Orange County real estate experience, I provide property valuations, neighborhood market analysis, and personalized buying and selling strategies.

Chris Phipps | Real Estate Broker
Realty ONE Group West
California DRE #01504980
Website: https://www.ochomz.com