With our summer selling season coming to an end, we continue to see strong buyer activity and home sales in the greater Palm Springs area as we move into the high season. Home sales, which had been below normal for this time of year most of the summer, have recovered, and we’ve seen the number of homes sold over the last three months at about the same levels as we did this time last year.
Inventory has returned to normal as well — there were 2,628 homes available for sale in August — and we should be experiencing our typical seasonal increase in the number of homes available for sale over the coming months. There was virtually no change in inventory compared to the same time last year in all price brackets, and that’s great news for buyers as many of our buyers are struggling to find the perfect home at the present.
We saw home sales rise (+1.3%) overall in August and average selling prices continued to rise this month, with home prices rising in virtually all cities across the valley.
Trendvision’s® most recent year-over-year, August 2019 vs. August 2018 Report shows (+1.3%) more homes sold last month. The number of homes sold was up (+60.7%) in the $1M price bracket, and down (-3.0%) in the $500-$999,999 price range, and essentially flat for homes selling for under $500,000.
Average selling prices rose (+7.2%) for homes priced under $500K and the $500,000-$999,999 price band saw a slight (+1.3%) increase in average selling prices. Homes priced $1M+ saw sales prices drop (-5.9%) compared to the same month a year ago.
Interest rates remain well below 4% for the last few months, and that is clearly helping the market. 30-year fixed-rate mortgages are at a competitive 3.375% and the FHA 30-year fixed rate is 3.125%. If you’re financing a larger amount, the Jumbo 30-year fixed rates are still attractive, at 3.75%.
Let’s look at the three key market indicators, Average Sold Price, Number of Homes for Sale, and Number of Days on Market, for a good snapshot of the Palm Springs area real estate market and, its overall health.
- Average Home Sale Prices rose overall in the Palm Springs area by (+9.5%) over the same month last year, and when looking at the last quarter's data you see the same trend — a (+7.8%) increase in average selling prices.
- Number of Days on Market dropped (-6.9%) compared to August of last year, consistent with the trend for the last 3 months. The biggest change was in the under $500,000 price range, where Days on Market fell (-11.9%), followed by homes priced $1M+ with a (-4.9%) decrease. Days on Market for homes priced $500,000 - $999,999 rose slightly, showing a (+2.2%) increase over the same time last year.
- The Number of Homes for Sale. There were 2,628 homes for sale last August, virtually unchanged from August of last year. August is typically the month with the fewest homes on the market, and I would expect to see more homes coming on the market starting next month and increasing through the spring of 2020.
The trend we have seen all year long continues… good homes priced right are selling quicker and for more money than they did a year ago.
Better Search Than Zillow!
Check out our home search that lets you search by
community, architectural style, HOA fees,
and much more! Just click here:
City Standouts! What’s Up and Who’s Down?
As we saw last month, once again the number of Homes Sold was up in half of the cities for August 2019 vs. August 2018. Sales were up the most in Coachella (+60.-%), Indian Wells (+10.5%), Bermuda Dunes (+9.1%), and Palm Springs (+6.2%). The biggest percentage drop in sales was found in Cathedral City (-8.6%), Palm Desert (-5.6%) and Desert Hot Springs (-4.8%).
Average selling prices were up across the board, with all cities except for Rancho Mirage and La Quinta showing price gains. The biggest percentage increases last month were in Indian Wells (+41.1%), followed by Bermuda Dunes (+22.8%), Coachella (+18.4%), and Palm Springs (+15.8%)
City Watch - Indio
Number of Homes for Sale = 289 - Down (-6.2%)
Number of Homes Sold = 117 - No Change
Average List Price = $452,000 - Up (+2.5%)
Average Sale Price = $345,000 - Up (+4.5%)
Average Sale Price Per Sq. Ft. = $177 - Up (+2.9%)
Average Days on Market = 70 - No Change
The Number of Days on Market was down in five cites last month, with these cities showing an drop: Bermuda Dunes (-30.5%), Desert Hot Springs (-27.9%), Desert Hot Springs (+18.4%), while Palm Desert and La Quinta both saw Days on Market drop (-14.3%).
Our buyer activity remains strong, and many are having difficulty finding the right home. If you're considering putting your home on the market, let us help you get it SOLD!
If you'd like a detailed market report for a specific city, just click here: Send Me A City Report.
Give us a call at (760) 625-7229, or visit www.thehamiltonregroup.com, for an easy-to-use home search, and for information on how we can help you with all your important real estate needs.
The Hamilton Real Estate Group is evolving to meet all of our customer’s real estate needs. If you are ready to sell, call or email us, or for a FREE instant home valuation report, click here: What's My Home Worth?