The real estate market in the Coachella Valley has undergone significant changes in January 2023 compared to the same month last year. According to recent statistics, the number of homes for sale has increased by an astounding 215.3%, from 602 in January 2022 to 1,898 in January 2023. However, the number of homes sold in January 2023 decreased by 52.6%, from 743 in January 2022 to 352.
The average selling price of homes in January 2023 was $885,000, a 5.2% increase from January 2022's average of $841,000. The average number of days a home stays on the market has increased from 38 days in January 2022 to 55 days in January 2023, a 44.7% increase.
In comparison to December 2022, the number of homes for sale in January 2023 has slightly increased by 1.3%, from 1,873 to 1,898 homes. The number of homes sold in January 2023 has decreased by 17.4% compared to December 2022, from 426 to 352. The average sold price in January 2023 has increased by 23.4% from December 2022's average of $717,000 to $885,000.
These numbers indicate a shift in the Coachella Valley real estate market from a seller’s market to a more balanced market, where buyers have more options to choose from and more time to make a decision.
The number of homes for sale has increased significantly, which means that buyers now have a greater selection of properties to choose from. While this could lead to a decrease in home prices as sellers compete to attract buyers, that’s not what’s happening. The average selling price is up when compared to both last month and the same month last year.
The number of homes sold has decreased, which could be due to several factors, including a decrease in demand, a decrease in available inventory, or a change in buyer behavior. However, the average sold price has increased significantly from the previous month, which may be an indication that more higher-end properties are selling.
Let's look at the key market indicators that show how our market is performing compared to last year; Average Sold Price, Number of Days on the Market, and Number of Homes for Sale.
- Average Home Sale Prices. Last month's average home sale price in the Coachella Valley was $885,000, an increase of (+5.2%) over the same month the previous year.
- Number of Days on Market. Days on the market have decreased (+44.7%), and homes are selling on average 55 days.
- The Number of Homes for Sale. There were 1,898 homes for sale last month, a (+215.3%) increase over January the previous year.
Interest rates. The average 30-year fixed-rate mortgage currently sits at 6.625%, while today’s 15-year fixed mortgage rate is 6.250%, and the jumbo 30-year fixed rate is 6.250%.
City Standouts! What's Up and Who's Down?
You can get a better view of the trends in our market when you look at the numbers for each major city in the area.
The Number of Homes Sold in January 2023 vs. January 2022 have decreased in all cities, with the biggest sales drops in Cathedral City (-72.4%), Rancho Mirage (-65%), and Indio (-64.3%).
Regarding Average Selling Prices, La Quinta stood out with a whopping (+35.1%) increase over last January’s sales. Most of the cities in the Coachella Valley experienced a decrease in average sold price Except: Palm Springs (+1%), Desert Hot Springs (+7%), Cathedral City (+14.6%), Rancho Mirage (+30.6%), La Quinta (+35.1%) and Coachella (+26.7%).
The Number of Days on the Market increased for all cities in the Coachella Valley except for Bermuda Dunes (-16.4%) and Indian Wells (-21%).
City Watch - La Quinta
Number of Homes for Sale = 329 (+235.7%)
Number of Homes Sold = 62 (-45.6%)
Average List Price = $1,776,000 (-22.2%)
Average Sale Price = $1,371,000 (-35.1 %)
Average Days on Market = 54 (-58.8%)
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, TV 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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