Imperial Beach Market Update | February 2026

Market Overview

February 2026 confirmed what savvy buyers have known for years: Imperial Beach is San Diego's most undervalued coastal community. With a median home price of $895K — less than one-third of neighboring Coronado — and just 28 active listings (down 18% from January), IB is experiencing its tightest inventory in three years. Properties priced under $850K are generating multiple offers within days of listing.

The combination of NAS Coronado proximity (8-minute drive to the main gate), a 4.1% month-over-month price increase, and the 2026 BAH rate adjustment has brought a surge of military buyers into the Imperial Beach market. As the Crosby Home Team — with deep roots in military relocation and a Navy SEAL family heritage — we've seen firsthand how IB has become the go-to alternative for junior and mid-grade officers who want coastal living without Coronado price tags.

Neighborhood Breakdown

Beachfront & Ocean View Corridor

The premium beachfront strip along Seacoast Drive saw 4 sales in February, ranging from $1.35M to $2.1M. Oceanfront single-family homes remain the most competitive segment, often receiving offers within 72 hours of listing. Average days on market: 14 days. Buyers competing in this tier should expect to waive contingencies and offer 5-10% above asking.

Insider Tip: The city's ongoing Seacoast Drive beautification project (completion Q3 2026) is expected to add 8-12% to beachfront values once finished. Buying now, before project completion, represents one of the best value opportunities in the San Diego coastal market.

Palm Avenue Corridor

The Palm Avenue area — IB's commercial and residential spine — recorded 9 sales in February with prices ranging from $720K to $1.15M. This corridor is seeing the most investor activity, with several fix-and-flip projects and ADU additions driving up comparable sales. Average days on market: 28 days.

Insider Tip: Palm Avenue's ongoing commercial revitalization (new restaurants, coffee shops, and a planned farmers market) is attracting younger buyers who want walkability. Properties within two blocks of Palm Ave are outperforming the broader IB market by 6-8%.

East Imperial Beach & Nestor

East IB and Nestor remain the most affordable entry points in the South Bay coastal market, with 11 sales ranging from $650K to $895K. These neighborhoods attract first-time buyers and military families using VA loans, with the VA's no-down-payment benefit making homeownership accessible even at current price levels. Average days on market: 31 days.

Insider Tip: Nestor's proximity to the 5 and 805 freeways makes it ideal for dual-military households with different base assignments. A Nestor home puts you 10 minutes from NAS Coronado, 15 minutes from 32nd Street Naval Station, and 20 minutes from MCRD — the best commute triangle in South San Diego.

Military Housing Impact

Military buyers represented approximately 52% of February sales — significantly above the San Diego County average of 18% and even above Coronado's 35%. This concentration reflects IB's unique position as the closest affordable coastal community to NAS Coronado. VA loan usage was near-universal in the sub-$900K segment, with zero-down VA purchases dominating East IB and Nestor transactions.

Market Forecast: March 2026

March will bring the beginning of PCS season, and Imperial Beach is positioned to be the primary beneficiary. With NAS Coronado processing an estimated 800-1,000 PCS orders for spring 2026, and Coronado's median price at $2.65M (nearly 3x IB's median), expect military buyer demand in IB to intensify significantly through May.

Buyer Strategy: If you're PCS'ing to NAS Coronado, NASNI, or 32nd Street Naval Station this spring, start your Imperial Beach home search now — before peak season competition arrives. The 24-day average DOM means you have a narrow window to act on new listings. Get pre-approved for your VA loan today.

Seller Strategy: March-May is the optimal listing window. Military buyers on PCS orders have firm move-in deadlines, which means they're motivated, pre-approved, and willing to pay fair market value to secure housing quickly. List in March to capture this demand before competing listings arrive.

Notable February Sales

The IB Opportunity: Why Now

Imperial Beach is at an inflection point. The combination of Seacoast Drive improvements, Palm Avenue commercial revitalization, and the city's new short-term rental regulations (which are reducing investor competition and creating more inventory for owner-occupants) is creating a rare window of opportunity for buyers who act before the broader market catches on.

As a military family ourselves — with a grandfather who served in UDT and a brother who served as a Navy SEAL — we understand the unique pressures of PCS moves, VA loan timelines, and the importance of finding a home that works for your family and your service commitment. Imperial Beach checks every box: coastal lifestyle, military community, NAS Coronado proximity, and prices that actually work with your BAH.

Questions about Imperial Beach? Thinking about buying before PCS season? Let's talk. We specialize in helping military families find the right home on the right timeline.