The August 2019 Housing Report indicates that all housing metrics in the Valley are showing very positive readings from sales to inventory to prices. There is not one negative or cautious indication for the coming season that we are aware of.
Median Detached Home Prices Declined slightly to $411,000 due to normal, seasonal factors. However, it is still 5.4% above a year ago. Overall on a city by city basis we continue to see strong, 12-month price increases for detached homes.
Median Attached Home Prices are up to $278,000, which is 3% above a year ago.
Palm Springs continues to lead and amaze. The median price for detached homes in Palm Springs is now $659,000, almost 10% above the all-time high made during the bubble years of the first part of this century. This current price is 14.2% above year ago.
We are seeing expanding sales in the four largest markets in the Valley – Indio, La Quinta, Palm Desert and Palm Springs. We also see slightly higher sales in Desert Hot Springs and Indian Wells. Rancho Mirage and Cathedral City are the only large cities that show a slight decline in sales.
Another way to chart sales is by “Price Bracketing”. Sales in homes between 900,000 and a million are up 30%, while sales over a million dollars have gone from 44 units a month to 52 units a month, which is an increase of 18%. Most of the other change in sales at the lower end is due to the fact that fewer homes are now found in the lower price brackets.
For those of you with listings currently on the market these next figures will offer some idea of the time it takes to sell based on the price range your home is in. This chart shows that the higher the price point the longer it takes to sell. If your home would be listed under $400,000, this is the time to get it on the market as buyer demand is higher and therefore will sell quicker. That said, pricing it correctly is always the key to a timely sale.
And finally, the Sales Price Discount from the original price is at a standard rate of approximately 2% off of list. As an example If your home is listed for $400,000, you can expect it to close somewhere around $392,000 or an $8000.00 discount off of the asking price.
As Always if you have questions about anything real estate related, please reach out and ask. I'm happy to help!