Desert Housing Report Shows Coachella Valley Real Estate Sales Below Normal In August 2024

Coachella Valley, CA

In a report anticipated by many in the Coachella Valley real estate industry, August 2024 sales were significantly below normal levels once again. In fact, the study reveals that sales were down 33.5% compared to the average norm in Greater Palm Springs, which encompasses valley cities including Indian Wells, Coachella, Rancho Mirage, Bermuda Dunes, Palm Desert, Indio, Desert Hot Springs, La Quinta, Cathedral City, and Palm Springs.

August marked the final month before the Federal Reserve began lowering interest rates by half a point, a change that took effect in mid-September. Local real estate experts have reported an uptick in activity following this reduction, making next month’s Desert Housing Report—published monthly by Greater Palm Springs Realtors and the California Desert Association of Realtors—an eagerly awaited update.

Despite these challenges, prices for single-family detached homes rose in 7 out of the 10 Coachella Valley cities, while prices for attached homes fell in 7 out of the 10 cities. Here is the breakdown:

The desert faced numerous challenges in August for the real estate market. On August 17th, buyer representation agreements became mandatory, interest rates remained stubbornly high, and temperatures soared above 110 degrees for 19 of the 31 days, according to AccuWeather. Additionally, some experts suggest that the upcoming election has contributed to the market slowdown.

With the election expected to be decided next month and temperatures beginning to cool next week, coupled with the adjustment of buyer representation agreements and slightly lower interest rates with potential further cuts on the horizon, conditions may change for the better.

The Author, Eric Gray , is a REALTOR®️ with Better Homes and Gardens Desert Lifestyle Properties, CA DRE 02225444.

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