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 Dip, Sales Anemic

The median price for Palm Springs area single-family, re-sale homes has been staying in a narrow range between $345,000 and $363,500 since November 2015. In July, the median price slipped below that range to $328,500.

On the face of it, that might suggest the market is weakening. But, as they say in statistics, one month a trend does not make.

I went back to 1999 to see the difference in price between June and July, and, in only two of those months was the price higher in July than June. So, no big deal.

Sales of both homes and condos continues to be problematic. Home and condo sales have been down by double-digits each month since the beginning of the year.

Year-to-date, home sales are off 20.7%, while condo sales are down 24.8%.

I check the Canadian dollar regularly. It feel to $0.73 the beginning of the week, but managed to climb back to $0.76 on Friday.

Prices for condos/attached homes were down in July, for the fourth month in a row from the year before, while sales were off by double-digits for the seventh month in a row. Dropping sales for condos/attached homes are to be expected this time of year as most of them are bought as second/vacation homes and this isn't the season.

July Statistics

Trends at a Glance
(Single-family Homes)
Data Jul 15 Jun 15 Jul 14
Median Price: $329,500 $360,000 $330,000
Average Price: $447,009 $492,097 $473,620
Home Sales: 499 569 576
Sale/List Price Ratio: 96.2% 95.4% 94.8%
Days on Market: 118 120 116
(Attached Homes)
Data Jul 15 Jun 15 Jul 14
Median Price: $223,500 $229,000 $242,000
Average Price: $251,500 $249,989 $258,305
Home Sales: 203 242 273
Sale/List Price Ratio: 95.4% 95.7% 96.0%
Days on Market: 128 116 132

The median price for single-family, re-sale home dipped in July by 0.2% year-over-year. The average price was off 5.6%.

Sales of single-family, re-sale homes were down 13.4% last month compared to July 2014.

The median price for attached homes and condos was down 2.4% from June, and it was down 7.6% year-over-year.

Attached homes and condo sales were off 25.6% year-over-year.

Since January 2014, the 3-month moving average median price is up 0.3% for attached homes. It is up 51.8% 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 0.8% -26.5% 103.6% Jun-07 Apr-09
12-month 5.3% -22.8% 90.0% Nov-07 Nov-09
Homes: attached          
3-month 0.3% -36.9% 51.8% Mar-06 Oct-11
12-month 7.5% -32.1% 39.7% Jun-06 May-12
The 3-month moving average median price for detached homes is up 0.8% from January 2014. The median price has bounced up 103.6% from the bottom of the market, but is still down 26.5% from the peak.

Sales momentum…

for homes, slipped 0.1 of a point to -25.8. Sales momentum for condos dropped 1.3 points to -29.2. (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 lost 0.5 of a point to  +5.5. Pricing momentum for attached homes fell 1.9 points to +1.7.

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% -0.8% 3.8%
Home Sales
Percent Change From Year Before
  <$500K >=$500K and <$1MM >=$1MM
2000 14.8% 39.1% 70.7%
2001 -17.3% -1.7% -19.2%
2002 23.6% 39.9% 10.0%
2003 7.9% 62.5% 46.6%
2004 27.6% 122.4% 141.9%
2005 -20.4% 9.8% 48.4%
2006 -29.4% -31.3% 7.8%
2007 -31.0% -10.5% -23.6%
2008 42.7% -24.4% -17.1%
2009 77.6% -34.6% -52.2%
2010 -11.1% 41.8% 53.6%
2011 15.9% 1.1% -10.8%
2012 -0.8% 6.4% 30.4%
2013 8.6% 59.7% 23.0%
2014 -24.7% -1.8% 24.7%
2015 -19.9% -23.3% -20.8%

The median price for the under $500,000 segment of the market was up 7.8% year-over-year in June. This segment constituted 73.7% 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 19.6% of sales last month. The median price was down 3.2% year-over-year in June.

Palm Springs area home sales and prices

The million dollar plus market was 6.6% of total sales in June. The median price for this segment of the market was off 3.6% 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

Desert Home Statistics
July 2015
  Homes     Change from last year Change from last month
Area Median Average Sales MedY AveY SalesY MedM AveM SalesM
Combined $329,500 $447,009 499 -0.2% -5.6% -13.4% -8.5% -9.2% -12.3%
Palm Springs $508,500 $596,752 72 -11.6% -16.3% -42.4% -8.4% -5.8% -31.4%
Palm Desert $412,950 $542,328 56 13.1% 20.5% -18.8% -2.8% -0.1% -16.4%
La Quinta $352,500 $481,996 106 6.8% -3.4% 17.8% -10.1% -10.7% 1.0%
Indian Wells $972,500 $1,348,828 16 -19.0% 5.3% 14.3% 26.3% 17.1% -23.8%
Rancho Mirage $569,000 $709,901 25 -6.6% 1.6% -49.0% -12.8% -3.6% -40.5%
Cathedral City $270,000 $280,366 44 17.9% 16.8% -25.4% -1.8% -0.5% -38.9%
Indio $271,500 $290,918 76 11.3% 13.1% 10.1% -3.7% -7.5% -2.6%
Desert Hot Springs $160,500 $163,136 66 -2.7% 0.1% 1.5% 1.3% 1.6% 65.0%
Sun City - PD $301,250 $330,039 36 -11.7% -6.7% 5.9% -2.8% -4.6% 33.3%
Bermuda Dunes $401,500 $414,944 9 17.2% 2.0% 50.0% -5.3% -26.3% -10.0%
This table provides the median price, the average price and the number of units sold for residential re-sale condominiums.

Desert Condo/Attached Statistics
July 2015
  Condos     Change from last year Change from last month
Area Median Average Sales MedY AveY SalesY MedM AveM SalesM
Combined $223,500 $251,500 203 -7.6% -2.6% -25.6% -2.4% 0.6% -16.1%
Palm Springs $185,000 $226,225 89 -21.3% -6.4% -33.1% -12.9% -3.2% -14.4%
Palm Desert $232,500 $273,188 56 -14.5% -1.9% -18.8% -8.8% -0.5% -24.3%
La Quinta $333,000 $338,732 17 2.5% -7.4% 13.3% 10.3% 9.7% 0.0%
Indian Wells $355,000 $422,333 3 9.2% 32.2% -57.1% -23.2% -0.6% -50.0%
Rancho Mirage $300,000 $290,691 19 5.3% -5.6% -34.5% 12.1% 7.6% -9.5%
Cathedral City $147,500 $159,867 12 -8.7% 0.2% 20.0% 11.3% 17.8% -14.3%
Indio $184,000 $225,667 3 142.1% 196.9% 50.0% 145.3% 200.9% 50.0%
Desert Hot Springs n/a n/a n/a n/a n/a n/a n/a n/a n/a
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.