SUMMARY
PRICES: The median price of a detached home in the Coachella Valley ended November at $635,000, down for the month and also down 1.6% year over year. The median attached price in the Valley rose to $457,000 and is now up 2.7% year over year. Price changes for detached homes have a wide variance, which range from a 11.9% gain in La Quinta to a decline of 12% in the city of Coachella. Six cities have year over year gains for their attached homes – Indio, Rancho Mirage, Indian Wells, Bermuda Dunes, Palm Desert and Cathedral City.
SALES: The three-month average of sales was 480 units a month in November, which is 20 units below last year. Our recovery chart, which compares current sales against seasonal averages, shows that sales over the last four months are running 30.6% below normal. Every city except Coachella, Desert Hot Springs, Rancho Mirage and Thousand Palms has lower three-month sales. The city with the largest percentage increase continues to be Rancho Mirage, with sales up 23%. The cities with the largest declines are Indio and Cathedral City, with sales down 23% and 12% respectively.
INVENTORY & “MONTHS OF SALES” RATIOS: In November, Valley inventory increased 150 units and by December 1 st it stood at 2,260 units. This is the highest inventory since the start of the pandemic in early 2020. The Valley’s “months of sales” ratio was 3.8 months, which is one month higher than last year. This fundamental ratio that measures supply and demand is now back to normal levels.
DAYS IN THE MARKET: At the end of November, the median number of “days in the market” in the Coachella Valley was 36 days, which is one day less than last month, but one day more than last year. The city of Coachella continues to have the lowest median selling time for detached homes at 25 days, followed by Desert Hot Springs at 31 days and Indian Wells at 32 days. In the attached market, Indio has the shortest average selling time at 26 days, followed by Desert Hot Springs at 28 days.
PRICE DISCOUNTS/PREMIUMS: In November, 15.9% of sales sold above list price, compared to 17.5% a year ago. We continue to expect the percent of homes selling at a premium to remain around 16%, which is one out of every six sales. Every city continues to average a selling discount for detached homes, which range from an average discount of .9% in the City of Coachella to a discount of 5.7% in Bermuda Dunes. Average discounts for attached homes range from .4% in Bermuda Dunes to 3.4% in La Quinta.
