Stronger Sales and Steady Prices Signal a Balanced Coachella Valley Market

The Coachella Valley real estate market is in a healthy, active state as we close Q1 2025. Rising prices, a growing inventory, and strong buyer activity point to a market that continues to offer excellent opportunities. For sellers, stable to slightly improving home values and competitive sale-to-list price ratios are encouraging signs. For buyers, more available listings and steady pricing provide a broader range of choices as we enter the traditionally active spring season.

SALES TRENDS

Number of Homes Sold

The number of homes sold in March 2025 reached 658, representing a healthy 16.5% increase from the 565 homes sold in February. While this figure marks a slight 1.6% decline from the 669 sales recorded in March 2024, it signals a return to seasonal strength and sustained buyer activity. This upward trend aligns with expectations for the spring market and underscores continued demand throughout the valley.  

Inventory of Homes for Sale

Inventory levels remained steady, with 3,645 homes actively listed for sale in March. This is a modest 1.4% decrease from February’s 3,698 listings, yet a notable 26.7% increase over the 2,877 listings available in March of last year.

Median & Average Sale Price

The average sale price in March rose to $941,606, a 4.3% increase from the $903,081 reported in February, and virtually unchanged from the $941,531 recorded in March 2024. This rebound from the prior month suggests renewed upward pressure on pricing as buyer competition picks up, while year-over-year stability indicates a consistent market trajectory without the volatility seen in other regions.

The median sale price also advanced in March, climbing to $629,500. This represents a 1.5% month-over-month increase from February’s $620,000 and a 2.4% gain over the $615,000 median price in March 2024. This steady growth in the median value reflects broad-based appreciation across price categories and continues to support seller confidence moving into the second quarter.

Average Days on Market (DOM)

Homes spent an average of 75 days on the market in March, compared to 74 days in February and 70 days in March 2024. While the month-over-month change is minimal, the 7.1% increase over last year suggests a slight shift toward a more balanced environment, giving buyers a bit more time and negotiating power while still offering sellers solid results.

New Listings 

New listings in March totaled 1,304, up 7.6% from 1,212 in February and 18.7% higher than the 1,099 new listings in March 2024. This increase in fresh inventory aligns with the seasonal uptick in activity and points to increased seller optimism as the spring market gains momentum.

What It Means For Buyers:

For buyers, the current Coachella Valley market offers a welcome combination of increased inventory, pricing stability, and more time to make informed decisions. With active listings up over 26% from a year ago and homes spending slightly longer on the market, buyers have more options and negotiating power than in recent years. While prices are trending upward, they remain steady compared to last year, making this an ideal time to purchase with confidence before competition intensifies later in the season.

What It Means For Sellers:

For sellers, the Coachella Valley market remains favorable, with rising home prices and strong buyer activity driving renewed confidence. The average and median sale prices have both increased from last month, and homes are still selling at nearly 97% of list price. With more buyers entering the market this spring, well-priced and well-presented homes have a strong chance of selling quickly and competitively.

INTEREST RATES

Mortgage interest rates have experienced fluctuations due to market volatility and economic factors. The average rate for a 30-year fixed mortgage stands at approximately 7.1%, reflecting a slight decrease from earlier in the week . For borrowers considering shorter loan terms, the 15-year fixed mortgage rate is averaging around 6.29% . Those seeking larger loans will find that 30-year fixed jumbo mortgage rates are currently averaging about 7.05% 

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.

Most local cities saw a decrease in the number of homes sold compared to the same period last year, with the largest percentage drops in Coachella (-53%), Indian Wells (-27%), and Rancho Mirage (-24%). The three cities with an increase in sales were Bermuda Dunes (+100%), La Quinta (+25%), and Indio (+7%).

Average sale prices present a mixed picture across the region. Indian Wells led the way with a $2,233,169 average selling price, up (+19%) followed by La Quinta (+17%) and Indio (+14%). Palm Desert saw the average sale price drop (-25%), followed by Bermuda Dunes (-24% and Palm Springs (-9%). 

Days on Market (DOM) increased in nearly every city. Bermuda Dunes and Coachelle led the with with DOM increases of (+50%) and (+47%) respectively.

CITY WATCH - LA QUINTA

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) 409-8811, 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.