Dear Friends,I am pleased to share with you the January 2019 Desert Housing Report. Appreciation has slowed down and the medium detached home price ended at $390,000 for the month, up 7.8% over
2018 Palm Springs California Housing Market Forecast
The median home value in Palm Springs was $365,770 in 2017. Palm Springs home values have gone up 4% over the past year. Low affordability has started to become a recent topic of conversation in California and is definitely worth watching. But with a healthy economy, level of demand and national unemployment rate, sellers are going to be hard-pressed to lower prices.
It may be a few years before experts can accurately assess how the new tax reform law will affect Palm Springs housing market but what are Housing Experts saying about the 2018 Palm Springs, California Housing Market Forecast???
2018 Palm Springs, California Housing Market Forecast – What will the housing market look like in 2018?
California Association of Realtors (Last year’s prediction: 4.3 percent increase in 2017)
The California Association of Realtors forecast California home prices will increase an additional 4.2 percent in 2018, rising to $561,020. Leslie Appleton-Young, chief economist for the organization, said that California’s five-year run of rising home prices is expected to last another three to five years, with median house prices on track to beat the record highs set during the housing bubble. CAR also expects mortgage interest rates to rise slightly next year, but not enough to deter homebuyers. Rates for traditional 30-year, fixed mortgages are forecast to rise to 4.3 percent in 2018. That’s still low compared with historical averages but up from 4 percent this year and 3.6 percent in 2016. See the source
The median home value in Palm Springs is $316,900. Palm Springs home values have gone up 1.6% over the past year and Zillow predicts they will rise 3.9% within the next year.
(Updated 5/2/2018) The median home value in Palm Springs is $407,432. Palm Springs home values have gone up 11.7% over the past year and Zillow predicts they will rise 6.5% within the next year.
National Association of Realtor (National)
Home prices are forecasted to slow to 3.2 percent growth year-over-year nationally, from an estimated increase of 5.5 percent in 2017. Most of the slowing will be felt in the higher-priced segment as more available inventory in this price range and a smaller pool of buyers forces sellers to price competitively. Entry-level homes will continue to see price gains due to the larger number of buyers that can afford them and more limited homes available for sale in this price range.
Is it a good time to buy (or sell) property in Palm Springs in 2018?
"Nobody can predict the future, but we can make educated guesses." said John Moder of the Team Michael - Keller Williams Palm Springs, specializing Palm Springs area. "We're seeing the luxury market in Palm Springs slow down and that might have an impact on other markets in the area. Knowing your local housing market can determine a value on the home you want to buy or sell without missing an opportunity. Ultimately the decision must depend on your goals and your particular circumstances."
Once you have made the decision to buy or sell your home, finding the right agent is next on the agenda. As many buyers and sellers have experienced the hard way, not all real estate agents are created equal! Feel free to contact Team Michael at 760-389-1598.
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