The Desert Real Estate Market Trends Report for Palm Springs, Palm Desert, Rancho Mirage, Indian Wells, La Quinta and Cathedral City.

Statistical Tables

Palm Springs Area Home Prices Down, Sales Anemic

After rising slightly in April, the median price for Palm Springs area single-family, re-sale homes slipped in May.

Home sales continue to tumble. Sales have been lower than the year before by double-digits for the past five months, and they have been lower for the past twenty months in a row. Year-to-date, home sales are down 23.4%.

Much of this has to do with the high price of the dollar, which has effectively shut the Canadians out of the market. Three years ago the loonie was at $1.05. For the first four months of the year, it has been hovering between $0.78 and $0.80. The loonie had been strengthening and got as high as $0.84, but fell back to $0.814.

Combine that with the fall in the price of oil, and Canadians have just stopped buying.

Prices for condos/attached homes were down in May, for the second month in a row from the year before, while sales were off by double-digits for the fifth month in a row.

May Statistics

Trends at a Glance
(Single-family Homes)
Data May 15 Apr 15 May 14
Median Price: $345,000 $363,500 $360,000
Average Price: $528,885 $530,998 $539,268
Home Sales: 544 582 718
Sale/List Price Ratio: 95.3% 95.7% 95.3%
Days on Market: 126 115 104
(Attached Homes)
Data May 15 Apr 15 May 14
Median Price: $250,000 $245,500 $252,500
Average Price: $267,428 $269,941 $281,061
Home Sales: 266 294 334
Sale/List Price Ratio: 95.2% 95.9% 95.6%
Days on Market: 125 120 104

The median price for single-family, re-sale home fell 4.2% year-over-year. The average price was off 1.9%.

Sales of single-family, re-sale homes were down 24.2% last month compared to May 2014.

The median price for attached homes and condos was up 1.8% from April, but it was down 1% year-over-year.

Attached homes and condo sales were off 20.4% year-over-year.

Since January 2014, the 3-month moving average median price is up 7.9% for attached homes. It is up 63.3% from the bottom of the market which was in October 2011.

Desert Price Differences
from January 2014 & Peak & Trough
Homes: detached          
YTD Peak % Trough % Peak Trough
3-month 4.3% -24.1% 110.3% Jun-07 Apr-09
12-month 4.9% -23.4% 88.6% Nov-07 Nov-09
Homes: attached          
3-month 7.9% -32.1% 63.3% Mar-06 Oct-11
12-month 8.9% -31.2% 41.6% Jun-06 May-12
The 3-month moving average median price for detached homes is up 4.3% from January 2014. The median price has bounced up 110.3% from the bottom of the market, but is still down 24.1% from the peak.

Sales momentum…

for homes, fell 0.1 of a point to -25.8. Sales momentum for condos dropped 0.4 of a point to -26.2. (See charts below)

We calculate…

momentum by using a 12-month moving average to eliminate seasonality. By comparing this year’s 12-month moving average to last year’s, we get a percentage showing market momentum.  

In the chart below…

the blue area shows momentum for home sales while the red line shows momentum for the median price.

Pricing momentum…

for homes dropped 1.8 points to  +5.5. Pricing momentum for attached homes fell 1.5 points to +5.9.

Palm Springs Area Real Estate Market Momentum Chart

Palm Springs area real estate condo sales momentum

 

Palm Springs area real estate

The following tables break-down the market into three segments: less than $500,000, $500,000 to $1,000,000 and $1,000,000 and over. The tables are year-to-date.

Median Prices
Percent Change From Year Before
  <$500K >=$500K and <$1MM >=$1MM
2000 12.7% 1.0% 0.0%
2001 14.5% 1.2% -3.8%
2002 18.3% -3.9% 0.0%
2003 13.8% 3.3% -3.2%
2004 23.4% 2.4% -1.1%
2005 16.9% 3.1% 3.0%
2006 0.1% -0.8% 2.6%
2007 -1.6% 1.5% 1.8%
2008 -33.8% -2.2% 7.9%
2009 -26.7% -1.5% -8.9%
2010 9.8% 0.0% -0.9%
2011 -8.9% -1.5% -1.8%
2012 16.4% -0.8% -1.8%
2013 24.2% 2.4% 3.3%
2014 10.3% 0.8% 0.4%
2015 6.5% 0.3% 4.4%
Home Sales
Percent Change From Year Before
  <$500K >=$500K and <$1MM >=$1MM
2000 37.9% 72.7% 50.0%
2001 -17.0% -9.5% -13.9%
2002 10.4% 19.8% 25.8%
2003 11.2% 85.4% 28.2%
2004 31.0% 98.4% 98.0%
2005 -18.9% 33.5% 58.6%
2006 -25.3% -30.6% 28.7%
2007 -28.6% -3.4% -17.3%
2008 1.5% -33.3% -18.6%
2009 123.5% -42.9% -61.8%
2010 -3.0% 51.9% 63.5%
2011 11.0% 17.9% -4.7%
2012 4.9% 1.3% 29.6%
2013 9.6% 40.6% -9.5%
2014 -30.3% 15.2% 84.2%
2015 -23.7% -26.4% -24.6%

The median price for the under $500,000 segment of the market was up 7.7% year-over-year in May. This segment constituted 69.9% of sales.

Palm Springs area home sales and prices under $500,000

By contrast, the $500,000 to $1,000,000 segment of the market was 19.5% of sales last month. The median price was down 5.3% year-over-year in May.

Palm Springs area home sales and prices

The million dollar plus market was 10.7% of total sales in May. The median price for this segment of the market was up 0.6% year-over-year.

See our Annual Report for year-end numbers.

Palm Springs are $1MM home sales and prices

The graphs below show monthly prices and sales since 2006. We have used a three month moving average to smooth out monthly fluctuations yet retain seasonal flow.

This chart show the number of homes sold plus the median and average prices since 2005.

This chart show the number of condos sold plus the median and average prices since 2005.

For full details see the tables below and the Monthly Trends section which breaks out each city's statistics. That menu is at the left.

Also, check out our Annual Trends section for charts and graphs for the past eight years.

The following table provides the median price, the average price and the number of units sold for residential re-sale single family homes.

Monthly Statistics

Coachella Valley - May 2015
SINGLE-FAMILY HOMES
  Prices   Change from Last Year Change from Last Month
Cities Median Average Sales MedY AveY SalesY MedM AveM SalesM
Combined  $ 345,000  $    528,885 544 -4.2% -1.9% -24.2% -5.1% -0.4% -6.5%
Palm Springs  $ 549,993  $    673,836 99 9.0% 6.6% -28.3% 0.0% -0.6% -2.0%
Palm Desert  $ 375,500  $    655,835 63 -3.7% 3.9% -32.3% 7.3% 28.9% -22.2%
La Quinta  $ 418,000  $    630,499 102 -22.6% -11.1% -12.1% 5.8% -8.1% -8.1%
Indian Wells  $ 658,500  $    913,545 20 -45.1% -43.7% -13.0% -5.9% 3.0% -4.8%
Rancho Mirage  $ 730,000  $ 1,021,640 35 4.4% 27.1% -46.2% 24.3% 20.5% -35.2%
Cathedral City  $ 252,000  $    275,309 53 3.2% 4.3% -30.3% -0.4% -3.6% -3.6%
Indio  $ 274,000  $    300,007 87 13.9% 9.4% 3.6% -0.9% 1.9% 13.0%
Desert Hot Springs  $ 168,500  $    162,585 39 19.5% 9.7% -52.4% 8.8% 7.3% 0.0%
Sun City - PD  $ 301,250  $    330,039 36 -11.7% -6.7% 5.9% -2.8% -4.6% 33.3%
Bermuda Dunes  $ 282,500  $    294,500 5 -5.4% -3.2% -28.6% -4.2% -18.2% -61.5%
This table provides the median price, the average price and the number of units sold for residential re-sale condominiums.

Coachella Valley - May 2015
Condo/Attached Homes
  Prices   Change from Last Year Change from Last Month
Cities Median Average Sales MedY AveY SalesY MedM AveM SalesM
Combined  $ 250,000  $    267,428 266 -1.0% -4.9% -20.4% 1.8% -0.9% -9.5%
Palm Springs  $ 225,000  $    252,918 97 6.8% 1.4% -36.2% 2.3% -0.4% -14.9%
Palm Desert  $ 287,000  $    310,353 79 4.4% 2.7% -2.5% 13.7% 20.1% -6.0%
La Quinta  $ 272,750  $    308,119 20 -30.1% -22.3% -28.6% -28.2% -13.6% -4.8%
Indian Wells  $ 377,500  $    356,167 6 0.0% -4.7% -57.1% -17.0% -38.2% -40.0%
Rancho Mirage  $ 285,000  $    262,803 38 -25.4% -28.0% 26.7% -3.7% -14.3% 5.6%
Cathedral City  $ 154,900  $    169,332 11 21.0% 28.5% -35.3% 6.1% 13.5% -31.3%
Indio  $ 156,500  $    141,082 6 -10.6% -34.6% 20.0% 5.0% -27.3% 0.0%
Desert Hot Springs  $   38,000  $      38,000 1 3.4% 3.4% -50.0% -23.6% -23.6% -50.0%
If we can help you devise a strategy, call or click buyer or seller.  To keep on top of the market, subscribe to this report and you will be notified by e-mail when it is updated each month.

The Graphs

Real estate trend charts for individual cities in the Palm Springs area can be reached by clicking on the City Trends menu to the left.

For detailed information on a specific neighborhood or country club, give Greg Bauer a call at (800) 975-7720, or fill out the appropriate form: Buyers or Sellers.

For our opinion of what your home will sell for in today's market, call or e-mail us.