With the summer heat setting in things have gotten quieter in the desert. There are still buyers coming in to make purchases though! Who is our market theses days?
Over the last several years, Canadians have enjoyed a strong $ which gave them greater buying power. This season, the Canadian dollar is weaker, at roughly 89 U.S. cents. One agency stated that 58% of their business came from Canadians in 2013 and now only 27% of the purchasing power came from our norther neighbors.
Many other real estate agencies saw the purchasing power coming in from all over the place.
In the valley’s real estate market, deals on low- to mid-priced homes also are drying up. Home prices continue to jump year-over-year. Those factors, are putting pressure on buyers to make a decision. Buyers in the lower price ranges used to be able to easily justify a purchase because they knew they would turn a profit.
Buyers….you still will turn a profit! Prices are still half of what they used to be in some cases and still well below what sellers had paid in the past in other cases so buy before the prices jump another 25% this year!
Most feel if buyers do not make a move now, they’re going to see the market jump, and when they see the market jump, they’re really going to have to compromise on what they want.
Right now, it’s getting to the point where many lower priced buyers are not getting what they want for $200,000 . So they change areas, take on less bedrooms etc. … Then it may be where you don’t take a garage, you’ll take a carport.
There are still homes offered at a good value, but for slightly higher prices, from $400,000 to $600,000. Even theses homes are seeing a bit of a squeeze in what you used to get.
The luxury home market $1,000,000 and up is seeing homes that are true gems in desirable neighborhoods get good offers. The middle price range $500,000-$900,000 is a bit stagnant. Investors are still trying to make low ball offers in this sector now since the lower price investor deals have almost dried up.
In February 2014 Coachella Valley homes were up 25 percent from the same month a year ago, according to DataQuick, a San Diego-based real estate information services firm.
Get in and get a deal while you can!!!!!
For information on homes for sale in the area or to find out what your home is worth, give me a call!
Jessica Bailey-Realty Executives-Top Producer-Year after Year
jessiebaileyus@yahoo.com
213-926-6471-Direct