Coachella Valley Housing Inventory Hits A New Low In May

Dated: 06/11/2018

Views: 564

According to recently released data from the California Desert Association of REALTORS® (CDAR), Months of Inventory in Coachella Valley hit a new low in May, down 21 percent. That amounts to 3 months supply, the lowest number since the spring of 2008.

Palm Springs Housing Market May 2018

Why are there so few homes?

  • People are staying put longer between sales — 11 years, twice the 2009 average, according to CAR. Homeowners also are reluctant to sell because they are feeling locked out of their markets by severe inventory shortages and rising prices that are occurring in many parts of the country. The median price was up 12.3% compared to this same month last year in Coachella Valley.

  • Homeowners also stay put to avoid capital gains taxes or higher property taxes on a new home. Those who got mortgages when 30-year rates averaged 3.5 percent also are “locked in” because they don’t want to give up their lower house payments. Experts predict that mortgage rates will be closer to 5% by this time next year. Should you wait?

  • Because of the newly passed tax legislation, homeowners with home loans greater than $750,000 will stay put to keep their mortgage interest tax deductions.

Given the fact that gradually rising mortgage rates often infuse urgency to get into a new home before it costs more later, buyers need to remain watchful of new listings and make their offers quickly.

With inventory down and prices rising, it’s an outstanding time to sell your home in Coachella Valley with less competition on the market. But the “where-will-we-go?” factor is significant. To solve this dilemma, Sellers can put a clause in their listing stating “Sale subject to seller finding suitable housing". Another option to consider is to ask buyers “rent-back” arrangements where sellers can stay in the house a while after closing, or to move into rental property or family member's home for short period time.

Buying and selling a home at the same time can be very complex. We have worked with dozens of happy homeowners who successfully transitioned from one home to another simultaneously without being displaced. If you have additional questions about the process or would like our assistance, please contact your local expert - Coachella Valley Real Estate agent, Team Michael Keller Williams Realty.

Want to Advertise on this Site?

Latest Blog Posts

Orange County Real Estate Market Report

In purchasing a home, buyers tend to focus a bit too much on the price of a home and do not consider enough the monthly payment. As a buyer, you must be concerned not about price but instead

Read More

Coachella Valley VA Approved Condos

You can put down as little as 0% down if you are a Veteran and buying in a VA Approved Condo building. The following is a list of the condos that are eligible and approved for VA Home Loan financing

Read More

Upsizing Your Home

Unfortunately, our homes don’t always grow with us. What may have initially worked fine for a single person, a young couple’s starter home, or a family with a newborn can quickly become too

Read More

Just Listed Sun City Shadow Hills Home For Sale 40981 Via Arcadia Indio CA 92203

Sun City Shadow Hills Home For Sale.This popular san benito model is loaded with features. Beginning with the open floor plan with den and a ''bonus room'' which is currently used as a bedroom. A

Read More