A Balanced Market Emerges in the Coachella Valley

The Coachella Valley real estate market is changing, offering opportunities and challenges for buyers and sellers. Buyers have more inventory and stable prices, while sellers face increased competition from other sellers. We are at nearly 6 months of inventory, which indicates a balanced market, and continued inventory increases could see us move into a buyer's market.  Let's look at the latest numbers that will help you make informed choices in today’s evolving market.

SALES TRENDS

Number of Homes Sold

In October, 461 properties were sold, reflecting a significant 21.3% increase from September and a 15.25% rise year-over-year (400 homes in October 2023). This represents the highest sales activity compared to the same month in 2023 and 2022, indicating strong buyer demand in the market.   

Inventory of Homes for Sale

The total inventory reached 2,757 homes, up 5.31% from September and 15.4% higher than October 2023 (2,389 homes). This expanded inventory gives buyers a greater selection while sellers face more competition from other sellers. 

Median & Average Sale Price

The average sale price climbed to $744,483, marking a 3.93% increase over September and a 4.7% rise year-over-year ($711,051 in October 2023).

The median sale price held steady at $575,000, down slightly by 1.12% month-over-month but still 5.5% higher compared to October 2023 ($545,000). These figures underscore a slow but steady appreciation of home values. 

Average Days on Market (DOM)

Homes sold faster last month, with the average days on market (DOM) dropping to 65 days, reflecting a 9.72% decrease from September and a 5.8% reduction compared to the previous year (69 days in October 2023). This indicates continued strong buyer activity.

New Listings 

October saw 1,101 new listings, a 15.29% increase from September and 10.65% more than October 2023 (995 listings). This marks the highest number of new listings for this time of year recently, providing fresh opportunities for eager buyers.

What It Means For Buyers:

The Coachella Valley market offers buyers more opportunities with increased inventory and a steady flow of new listings, providing a broader selection of homes. Stable pricing and reasonable market activity give you time to explore your options and make informed decisions, while the appreciating market ensures a solid long-term investment.

What It Means For Sellers:

For sellers, the Coachella Valley market continues to show strong buyer demand, with homes selling within 2-3 months and prices continuing to appreciate steadily. Well-priced properties are attracting competitive offers, and the average time on the market has decreased slightly, highlighting the market’s momentum. However, with an increase in new listings, competition is growing, making strategic pricing and exceptional marketing essential to maximize your property’s value and stand out to buyers.

INTEREST RATES

Mortgage interest rates show a mix of trends. 30-year fixed-rate mortgages average around 6.78%, and 15-year fixed-rate mortgages average approximately 5.99%, reflecting slight decreases from the previous week. Meanwhile, 30-year fixed jumbo mortgages average 6.70%, with a minor upward trend.

CITY STANDOUTS! WHAT'S UP AND WHO'S DOWN?

The numbers for each major city in the area give a better view of the trends in our market.

The number of homes sold increased in most cities last month. Desert Hot Springs and La Quinta led the pack with a significant year-over-year increase of 23% and 50%, respectively. Bermuda Dunes stood out with a dramatic 67% rise in sales, demonstrating heightened buyer interest in these areas. While most cities experienced growth, Indian Wells and Rancho Mirage saw a decline of 11%, and Coachella faced a sharp 47% decrease, reflecting localized variations in market demand.

Average sale prices continue to reflect the diverse nature of the Coachella Valley market. Rancho Mirage and Cathedral City saw impressive growth in average sale prices, up 18% and 9%, respectively. However, Bermuda Dunes and La Quinta experienced 27% and 32% declines.

The average time homes spend on the market reveals a mixed picture. Cities like Desert Hot Springs and Cathedral City saw 12% and 13% increases in DOM, indicating that homes took longer to sell in these areas. Conversely, Indian Wells and Palm Desert experienced a notable 30% and 13% decrease in DOM, highlighting faster sales in these cities.

CITY WATCH - PALM SPRINGS

If you're considering putting your home on the market, let us help you get it SOLD! Now, more than ever, marketing matters! Our world-class marketing plan, with online ads, paid YouTube ads, and social media exposure, is critical in this shifting market. Call now for a free seller consultation, and let us help you decide if now is the right time to sell your home. 

If you'd like a detailed market report for a specific city, email us and let us know which city reports you'd like to receive.

Call us at (760) 625-7229, or visit www.thehamiltonregroup.com for an easy-to-use home search and information on how we can help you with all your essential real estate needs.