Inventory Gains and Pricing Stability in the Coachella Valley

The Coachella Valley real estate market remains active and resilient, with steady buyer demand and an increase in available inventory. While prices have seen minor adjustments, the market continues to offer opportunities for both buyers and sellers. Below is an in-depth look at the latest market trends shaping the region.

SALES TRENDS

Number of Homes Sold

In February 2025, a total of 561 homes were sold, representing a 13.79% increase from January’s 493 sales. More notably, home sales also rose 2.19% year-over-year from 549 homes sold in February 2024. This sustained level of buyer activity underscores the region’s continued desirability and strong housing demand.   

Inventory of Homes for Sale

The number of homes for sale in February reached 3,462, representing a 23.2% increase from the 2,810 homes available in February 2024. While inventory has expanded, it remains balanced, neither overwhelmingly favoring buyers nor sellers. This indicates that well-priced and well-presented homes continue to sell, while overpricing may lead to longer market times.

Median & Average Sale Price

The median sales price last month was $625,000, a decrease of 3.1% from January’s $645,000, but unchanged from February 2024—indicating stability in home values. The average sales price was $904,860, reflecting a 3.98% decline from January’s $942,400, yet still matching the February 2024 average price. This suggests that while there have been short-term fluctuations, long-term price levels remain consistent.

Average Days on Market (DOM)

The average days on market (DOM) in February 2025 rose to 74 days, marking an increase of 4.23% from January’s 71 days and 8.82% higher than 68 days in February 2024. While this indicates a more measured pace of sales, it’s important to note that well-priced homes in desirable locations continue to move quickly.

New Listings 

A total of 1,203 new listings entered the market in February, reflecting an increase of 14.68% compared to 1,049 in February 2023. More homeowners are choosing to list their properties, offering fresh options for buyers and contributing to a balanced market.

What It Means For Buyers:

The increase in available inventory provides more options and potential leverage in negotiations. While prices have softened slightly, homes in desirable areas remain competitive, so being prepared to act quickly when the right home becomes available is key.

What It Means For Sellers:

With the market shifting slightly, pricing strategy is critical. Homes that are competitively priced and effectively marketed continue to sell for close to their listing price. While the increase in inventory means more competition, serious buyers remain active, making proper positioning and expert marketing essential to achieving top dollar.

INTEREST RATES

Mortgage interest rates have fallen in the past four weeks. The average rate for a 30-year fixed-rate mortgage has dropped to 6.802%, while the 15-year fixed-rate mortgage has an average APR of 6.104%. For jumbo loans, the 30-year fixed-rate averages about 6.375%.  These declines in interest rates have stimulated increased activity in the housing market, resulting in more buyers entering the market and a rise in refinancing applications.

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 Coachella Valley has seen mixed results in the number of homes sold compared to the same period last year. Palm Desert (+17%), La Quinta (+12%), and Indio (+26%) experienced notable increases, signaling strong buyer demand in these areas. However, some cities saw a decline, including Rancho Mirage (-18 %), Cathedral City (-15 %), and Bermuda Dunes (-65 %).

Average selling prices fluctuated throughout the region, with Indian Wells (+36%), Cathedral City (+12%), and Indio (+10%) experiencing notable gains while Rancho Mirage (-14%), La Quinta (-9%), and Bermuda Dunes (-26%) saw price declines.

The average days on market (DOM) increased in most cities. Rancho Mirage (-18%) and Bermuda Dunes (-15%) saw a decrease in DOM while Indian Wells (+35%), Desert Hot Springs (+23%), and Coachella (+60%) reported an increase in DOM.

CITY WATCH - INDIO

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. 

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