The Housing Market Is Split by Price Point: Which Side Is Your Home On?

Ask a couple people how the housing market is doing and you’ll probably get a couple different answers. That’s because right now, the market runs on 2 very different tracks, split by price point.

Knowing where your house fits by price point can influence your selling strategy, from your asking price to how long it may take to receive an offer. Here’s what you need to know.

Home Sales Are Stronger at Higher Price Points

Rates and buyer competition are shaping this market differently depending on price point. Look at recent sales data from the National Association of REALTORS® and the pattern jumps right out. 

Homes priced under $250,000 saw sales drop 2-3% compared to last year, while homes priced above $750,000 saw sales climb by double digits (see graph below):

What may be contributing to the divide? Higher mortgage rates and the last few years of home price appreciation have created affordability challenges for many buyers, especially first-time buyers. That may be contributing to softer sales activity in some lower price ranges.

On the flip side, some buyers looking for higher-priced homes may be less sensitive to higher mortgage rates or have more financial flexibility, potentially due to factors such as a strong stock market or equity in their current home.

That may be part of the difference. Lower-priced homes are still selling, but recent national data shows lower sales activity in some of those price ranges, while higher mortgage rates and affordability challenges continue to affect many buyers.

This is exactly why pricing strategy and presentation can carry significant weight, especially if you’re selling in that range. Price it right from the start instead of testing a high number, make sure it shows well online and in person, and lean on an agent who can market your listing to buyers shopping in your range. That can help your home get the attention of buyers who are still looking – and help demonstrate its value in the current market.

Luxury Homes Are Selling Nearly as Fast as Starter Homes

How fast a home sells is shifting by price point too, and the split is just as sharp. For years, luxury homes sat on the market a lot longer than starter homes. That gap has nearly closed, according to Redfin (see chart below):

Recent data shows that the gap in selling time between luxury and starter homes has narrowed considerably. As Zillow puts it:

 

“The U.S. housing market is splitting in two. Luxury homes are selling at a faster pace than a year ago, with shrinking supply and growing bidding wars.”

 

If you're selling in a higher price range, current market conditions may create opportunities, depending on your property and local market. Understanding the level of buyer activity and competition can help inform how a listing is marketed and priced from day 1.

And no matter which side you’re on, that’s useful information to have up front when planning your selling strategy.

What Today’s Housing Market Means for Home Sellers

If you’re thinking about selling an entry-level home, don't panic. Homes at your price point are still selling, although recent national data shows lower sales activity in some lower price ranges compared with last year. That makes pricing and presentation especially important in today’s market.

If you're selling a move-up or luxury home, recent national data shows stronger sales activity at higher price points. However, buyer activity and competition can vary by property, price range, and local market conditions.

Either way, your home’s price point is an important factor in how it competes and how quickly it may sell.

Bottom Line: Your Home’s Price Point Matters When Selling

Your home’s price point can make a meaningful difference in how it competes in today’s housing market. If you’re thinking about selling a home in North County San Diego, understanding current local home prices, inventory, buyer activity, and comparable sales can help you make a more informed decision about pricing and marketing your property.

Start by getting your Home Value or reviewing the latest North County San Diego Market Snapshot to better understand current market conditions.

If you’re also planning your next move, you can Search Homes for Sale in North County San Diego and use the Mortgage Calculator to explore potential monthly payments based on different home prices and financing scenarios.

When you’re ready to discuss your property and your real estate goals, Contact Me to talk about where your home fits in the current North County San Diego real estate market.

Frequently Asked Questions About Today’s Housing Market

Are higher-priced homes seeing stronger sales activity in 2026?

Yes, according to recent national data. July 2026 data from the National Association of REALTORS® shows that sales of homes priced from $750,000 to $1 million increased 11.1% year-over-year, while sales of homes priced at $1 million or more increased 14.8%. By comparison, sales of homes priced from $100,000 to $250,000 declined 2.3%. These are national figures, and sales activity can vary by location, property, and price range.

Are luxury homes selling as quickly as starter homes in 2026?

Recent Redfin data shows that the gap in median days on market between luxury homes and starter homes has nearly closed. Historically, luxury homes tended to spend considerably more time on the market, but that difference has narrowed substantially. How quickly an individual home sells can vary based on location, property characteristics, pricing, buyer demand, and local market conditions.

How can I determine a listing price for my North County San Diego home?

Determining a listing price typically involves reviewing recent comparable sales, current competing listings, local inventory, buyer activity, property condition, location, and features. Because real estate conditions can vary from one community and price range to another, current North County San Diego market data can provide more relevant context than national trends alone. A local real estate agent can help you review these factors and develop a pricing strategy based on your property and current market conditions.

About Patricia Villanueva – North County San Diego Real Estate Agent

Patricia Villanueva is a North County San Diego real estate agent helping buyers and sellers navigate the local housing market. Whether you’re buying a home, selling a home, or exploring homes for sale in North County San Diego, Patricia Villanueva provides local market guidance to help you make informed real estate decisions.

Contact Patricia Villanueva to discuss your home-buying or selling goals.

Disclaimer: This content is provided for general informational purposes only and should not be considered legal, tax, financial, or other professional advice. Real estate market conditions, property values, pricing, availability, and individual circumstances can vary. Information is believed to be reliable but is not guaranteed and may change over time. Consult the appropriate qualified professionals for advice regarding your specific situation.