Coachella Valley’s Housing Inventory Hits Four-Year Peak. A housing report for January 2024 unveils an upward trajectory in home prices and the valley’s housing inventory, which hit its highest mark in the past four years.
Key Findings
The report indicates a surge in the median home price in the valley to $680,500, representing a $20,500 increase compared to the previous month and a 1.2% rise year over year. Notably, Palm Springs witnessed a 1% year-over-year uptick in the median price of detached homes, reaching $1.27 million.
Analysis
The report underscores the seasonal trend of price escalation during this period. A notable highlight is the valley’s housing inventory, which stands at 2,416 as of March 1, marking the highest figure recorded in almost four years. For comparison, pre-pandemic levels for this time of year were around 3,416 units. Although this signals improvement, it remains approximately 1,000 units below these pre-pandemic levels.
Considerations
It’s important to acknowledge that some inventory increases may be attributed to seasonal variations. Additionally, this inventory peak could represent the year’s zenith, given the traditional decline in inventory from March to September.
Sales Trends
Sales in the valley are showing signs of stabilization after a gradual decline, primarily due to the economic impact of the pandemic and rising mortgage rates. They currently stand at 24.3% below the norm, reflecting an improvement compared to the previous month when sales were 30% below the norm.
The report expresses optimism about sales recovery, anticipating a rebound when mortgage rates drop to 5.5% to 6%. Recent decreases in inflation provide hope that this trend might already be in progress.
I recently listed and sold several homes this spring all of which received acceptable offers within days. If you have been putting off selling your home in The Desert because of the market, now may be the right time for you to sell! Give me a call and let’s discuss what your options could be in the upcoming months.