From many homes for sale with no buyers to hardly any homes for sale with many buyers — the Palm Springs market reflects what’s happening in many other markets…Ã‚Â And this market shows no signs of falling back.Ã‚Â Our local market, as well as many other markets are experiencing an unusual phenomenon.Ã‚Â First the investors came back to the market.Ã‚Â Properties started getting multiple bids.Ã‚Â Seeing this movement – buyers who had been waiting for the bottom to hit and those sitting on the fence – jumped in.Ã‚Â This caused our inventory to reach lows it hasn’t seen in years.Ã‚Â And the inventory looks like it might remain low due toÃ‚Â what has happened during the last 4-5 years.Ã‚Â There are many would be sellers who would like to sell their homes but will experience a considerable loss because they owe more than their home is worth.Ã‚Â They are not in any danger of losing their home, but they want to not lose money.Ã‚Â So they are waiting for prices to rise.
The result is that the inventories will remain low.Ã‚Â And with that old law of supply and demand – prices have and will continue to rise.Ã‚Â Driven by a too many buyers for too few properties.
I know many of my clients who want to buy — need to wait for their homes to sell in order to purchase a home.Ã‚Â That has to be frustrating.Ã‚Â But for those of you that are sitting on the fence – I would urge you to look at the data and consider buying while prices are low and interest rates are at historic lows.Ã‚Â The choices will probably not be as plentiful as you wish and that “perfect” property might not appear so look at the listings and see if a home can be modified or your wish list can be modified to fit your plans.
I think the days of a large inventory with plenty of homes to choose from is gone.Ã‚Â There might be a small spike as our season gears up but the number of buyers will also increase as it always does.
So look at the articles and graphs and let me know if you have any questions.