The Real Estate Market in the Coachella Valley and COVID
A standard market update isn’t sufficient to describe the rapidly changing real estate market in the Coachella Valley due to COVID.
So with the help of Market Watch LLC, we’re watching the market using shorter term metrics that demonstrate more of the daily moves, based on a 28 day average.
We’re comparing Real Estate Market Metrics *March 19 – May 15, 2020 vs the same time period in 2019 and the impact COVID has had on the Coachella Valley Real Estate Market. *(Date of Governor Newsom’s Stay at Home order)
Coachella Valley Single Family Homes
PENDING SALES –
One of many metrics we use to pick up developing market trends is Pending Home Sales. In 2019 there was an average of 23 units going under contract everyday in the Coachella Valley. For the first 2 weeks after the stay at home order, people and business froze – no one knew what to expect and as real estate agents, we were legally NOT able to practice Real Estate – so, it’s no surprise that as of May 15, 2020 we averaged 11 homes going under contract per day. That’s about a 52% decline in the number of sales from one year ago. Eventually, Governor Newsom added the practice of real estate to the list of “Essential Businesses” and since then we’ve started to see a substantial uptick in online home buyer activity.
PRICE / SQ FT –
Interestingly for Single Family Homes,
May 1, 2019 the average price / sq ft was $244. This year it’s $238 / sq ft.
Down just 2.4%. Prices are showing only a small downward bias.
Inventory is actually down from one year ago. May 1, 2019 we had 3,636 units for sale, but inventories had been down since November 2018, (prior to COVID). Inventories have been hovering around 3,000 units for sale since then. We’re down only about 100 units since.
NEW LISTINGS –
No rush to sell. Net new listings are also down, offsetting the decline in pending sales. We generally average about 25 new listings / day, (adjusted for seasonal swings). Currently we’re at about 20 new listings / day.
In a standard market, we average about 5 cancellations / day in the Coachella Valley. Initially, right after Gov Newsom’s Stay at Home order on March 19th, there was a spike in cancellations for about 2 weeks, but we’re now back to the average. So at this point we’re not seeing a long term affect, as buyer’s (and seller’s too) are feeling more confident.
NOTICE OF DEFAULT LISTINGS AND SALES –
From March 19 – May 15, 2019 there were 4 homes that sold as foreclosure with notice of default.
2020 there are 3 homes in default listed for sale and 2 have sold.
DAYS ON MARKET –
There has been little effect to the average time on market.
May 1, 2019 it was taking on average 76 days to sell.
May 1, 2020 is an average 78 days.
PRICE DISCOUNTS –
In a standard market, we average 3% discount off asking price. May 1, 2020 we were averaging 3.2% price discount from asking.
Unlike the financial crisis of 2008 where our entire financial system was teetering on collapse with huge spikes in housing inventory, little to no lending activity, and little to no buyer activity – This is a health crisis, our financial institutions are solid and lending practices are open and operating properly and interest rates are again at near historic lows. True, we’ve seen a decline in the number of sales, but it’s trending up as more and more states and cities open up for business. And unlike 2008, inventories remain low and steady with prices holding.
I believe we will see a shift away from the “trendy urban lifestyle” that’s been so popular among Millennial’s. This health scare seemed to be in epic proportions in large cities and relatively small in outlying suburban areas; shining a spotlight on the benefits of living in areas with space. Both business and their employees have learned they really can work from home and still be productive. The natural next step will be people looking for areas where they can live and work from home but not too far from the office. Far enough away that they feel safe without sacrificing their lifestyle. And an area with homes they can afford to buy. The very things that make our Desert an attractive place for people of all ages to live, work and play.
Yes, we may have a bumpy road ahead short term, but people buy and sell homes everyday for a million different reasons – I do not see this lasting as a long term market problem. There’s pent up demand waiting to get back into the swing of life and doing business. I’m optimistic for the future of our Coachella Valley real estate market.
The 10th annual Palm Desert Food & Wine, taking place March 27–29, 2020, will feature a diverse selection of mouth-watering eats, premium wines, hands-on cooking demonstrations, and much more. This annual gastronomic event is the most celebrated cuisine and beverage festival in Greater Palm Springs and will feature a roster of the nation’s top chefs, vintners, and brewmasters.
The weekend begins with a four-course gourmet luncheon created by James Beard Award-winning and nominated chefs accompanied by premium wine pairings.
At the Grand Tastings on Saturday and Sunday, guests will experience demonstrations from celebrity chefs and enjoy tastings from more than 50 fine restaurants and culinary brands accompanied by premium spirits, wines, Champagnes and craft brews.
But it’s not just about satisfying your palate — it’s also about helping others. Palm Desert Food & Wine is a proud supporter of the Coachella Valley’s FIND Food Bank, which provides food assistance to those in need throughout our community.
The Food and Wine Festival in Palm Desert is conveniently paired with Fashion Week El Paseo in March, offering visitors yet another reason to come to Palm Desert in the spring. For more information visit the Palm Desert Food & Wine Festival website.
Fashion Week El Paseo celebrates style, innovation, and trends at the West Coast’s largest consumer fashion show, taking place March 20‒28, 2020, at The Gardens on El Paseo in Palm Desert.
What began in 2006 by Palm Springs Life magazine as a way to showcase stores on El Paseo — featuring 10 stores, a few generous restaurants, and about 250 attendees — has evolved into a nine-day event that attracts more than 14,000 guests from around the world.
The talents of renowned and emerging designers, many of whom have been featured on Bravo’s Project Runway, this premier event showcases their newest collections. After the designers present their collections, they mingle with guests and vend their work at trunk shows.
Auxiliary events include cocktail receptions, pre- and post-show parties, celebrity meet-and-greets, silent auctions, and more. Some benefit local schools or organizations; scholarships have been provided to Fashion Institute of Design & Merchandising students as well as to the YMA Fashion Scholarship Fund, while the proceeds from another go to Animal Samaritans.
El Paseo Fashion Week tickets are available on an event-to-event basis, or you can purchase a pass that grants you access to all Fashion Week events and includes VIP seating at all the fashion shows. The full Fashion Week schedule is available on the official Fashion Week El Paseo website, where you’ll also find photo galleries, biographies of the designers and tips on where to stay.
The 2020 BNP Paribas Open returns to Indian Wells Tennis Garden for another year of dramatic professional tennis action. Known as the “Fifth Grand Slam” in tennis circles, the BNP Paribas Open tennis tournament positions the sport’s global spotlight on Indian Wells each March for two weeks of fast-paced Association of Tennis Professionals (ATP) play.
This year’s tournament will run March 9-22 and includes the return of “Rafa & Friends” vying for the second annual Eisenhower Cup, a one-night only Tie Break Tens event.
Notable players from around the world will compete for the tournament’s top prize in Singles and Doubles, including established and rising stars such as Rafael Nadal, Caroline Wozniaki, Novak Djokovic, Naomi Osaka, Dominic Thiem, and Venus and Serena Williams. This is the largest two-week combined ATP World Tour Masters 1000 and WTA Premier professional tennis tournament in the world, and one of the most popular destinations for tennis fans from around the globe to attend.
The tournament is a Masters 1000 event on the men’s tour and is a Premier Mandatory event on the women’s tour. Between 1974 and 1976 it was non-tour event and between 1977 and 1986 it was a secondary tournament of the Grand Prix Tennis Tour but in 1987 it was upgraded to be part of the Grand Prix Super Series, the series of nine tournaments just below the four majors and the year-end finals in importance.
It took the place of the Philadelphia Indoor event as the first Super Series event of the year. The event is one of two tour events (along with the Miami Open), other than the Majors, in which main draw play extends beyond eight days. The women’s main draw usually starts on Wednesday and the men’s main draw starts on Thursday. Both finals are held on Sunday of the following week. Both singles main draws include 96 players in a 128-player grid, with the 32 seeded players getting a bye (a free pass) to the second round.
La Quinta Art Celebration makes its triumphant debut this year, replacing the La Quinta Arts Festival which was hailed as the number one fine art festival and number one fine craft festival in the nation.
When suddenly faced with the prospect of not being the host city to its namesake arts festival, the City of La Quinta quickly rallied to recruit a new promoter for a major art event in March 2020. Through a comprehensive selection process, the City Council unanimously approved the selection of Paul Anderson/SCOPE Events, LLC.
With a new name in hand, this epic art show takes over the La Quinta Civic Center campus in Old Town La Quinta March 5-8. Put on by SCOPE Events, which is comprised by veteran art show visionaries including the event manager for the La Quinta Arts Festival.
This event is expected to draw thousands to the charming desert oasis for a few days of incredible art, delicious food and beverage options, live music and entertainment. More importantly, it re-establishes what will be a storied desert tradition for residents and art lovers alike.
La Quinta Art Celebration is primed to become the next number one show on the Coachella Valley and Southern California art scenes, taking on a fresh new look and fun vibe offering its patrons two Champagne Bars to toast the new event, a Gourmet Food Court, Winery Row featuring favorites from Napa, Sonoma and San Luis Obispo counties, a Margarita Bar lakeside on the island and our local Brandini Toffee decadently dipped ice cream bars. For entertainment, patrons will experience a digital art installation, and live music performances will provide the perfect background ambiance.
For more information on the La Quinta Art Celebration, check out the festival website.
Welcome to the Rancho Mirage Wine and Food Festival, February 28 – 29 in the Rancho Mirage Community Park where Palm Trees and Stunning Mountain Views serve as the backdrop to one of the most talked about Wine Events in California. Featuring the Special Sunset Rare, Reserve Tasting and the Grand Tasting Finale.
For the Grand Tasting, enjoy an afternoon of fun, wine, food and lively music – at the the most stylish wine and food festival under the sun! If you love wine, great food, and that famous Palm Springs weather, then the Rancho Mirage Wine & Food Festival is the event for you!
Limited to just 300 ticket-holders, this will be the toughest ticket in town! California’s best winemakers will dust off their rare and reserve level bottles in a wine-lovers fantasy night of sipping the good stuff! Some of the wines being poured are impossible to buy and are no longer in distribution.
Guests are greeted with a Sparkling Champagne Reception then treated to Trophy Cabs, rare bottles of wine from Sonoma County, Award winning wines from Paso Robles and Lodi and some of the best Pinot’s from California’s Central Coast, Santa Barbara County and Oregon.
Check out these Fab Homes for Sale in Rancho Mirage
Top chefs from the Coachella Valley’s most popular restaurants will prepare amazing hot and cold gourmet appetizers while live music keeps things upbeat. The beautiful Rancho Mirage Amphitheater provides the perfect backdrop for this romantic winter night under the stars. The Rancho Mirage Wine and Food Festival Silent Auction of fine wines, exotic large format wine bottles and special luxury wine tours will raise money for our most worthy non-profit.
February 28 4:00 pm – 6:30 pm Rancho Mirage Community Amphitheater 71560 San Jacinto Drive Rancho Mirage, CA 92270
2020 Riverside County Date Fair & National Date Festival dives into the date, the hallmark of the Coachella Valley’s farming culture. Akin to what Mid-Century Modern architecture means to the Greater Palm Springs Area’s real estate realm, the date is synonymous with the Coachella Valley. These delicious fruits are a product of the date palm, which comprises a big portion of the Southern California desert’s agricultural industry.
Get a taste of the delectable date, and the Coachella Valley’s rich culture, at the 2020 Riverside County Date Fair & National Date Festival, taking place February 14-23 at the Riverside County Fairgrounds in Indio. This event offers fun for the whole family, including nightly entertainment from renowned music artists to monster trucks, demolition derby, and a recurring Arabian Nights musical. All the live entertainment is paired with carnival rides, a livestock fair, rodeo, food, and craft vendors.
The Riverside County Fair and National Date Festival started as a celebration for the end of the annual date harvest in the Coachella Valley. The event today remains true to those agricultural roots as well as an Arabian Nights theme developed decades ago and is still represented by nightly pageants. So in addition to fair favorites like animal exhibits and monster truck rallies, you’ll also be able to enjoy Camel and Ostrich Races and cooking demonstrations featuring dates. Musical entertainment and carnival rides add to the appeal of this diverse county fair.
Dates were an unknown commodity in the valley until 1903 when date palms were transplanted here from Algeria. By the early 1920’s, enough acreage was planted to make dates a major crop for the area. In fact, the date industry represented Riverside County at the 1915 World’s Fair in San Francisco. Date groves in the Coachella Valley were such a novelty that they became quite a tourist attraction.
With the popularity of the date gardens, the idea was planted for a date festival to be held in Indio City Park in 1921. The heavily publicized International Festival of Dates was promoted with an Arabian theme, a reference to the ancestral homeland of the date. A second festival was held the following year, but the interest for an annual fair waned. Instead, date agriculturalists promoted the crop at events such as the Southern California Fair in Riverside, the California State Fair and the Golden Gate International Exposition.
Today, the Riverside County Fair & National Date Festival remains an integral part of the greater Coachella Valley community and a major tourist attraction. It continues the legacy of decades-old desert traditions while celebrating the desert’s history and community, and of course, providing enjoyment fo the whole family.
For the full schedule of daily entertainment, as well as to purchase tickets, check out the 2020 Riverside County Date Fair & National Date Festival website.
Palm Springs Modernism Week 2020 returns to the desert to bask in the beautiful, simplistic Mid-Century Modern movement. Modernism Week 2020 is a 10-day celebration of all things Modern in the mecca of “MCM,” Palm Springs, taking place February 13-23. This signature event happens every February, gathering tens-of-thousands of Modernism enthusiasts from around the world to celebrate the form in all its glory, from sleek architecture to iconic furniture and fashions.
Modernism Week initially began as a weekend event and has now grown to include more than ten consecutive days of events that include Palm Springs Art Museum films, lectures and symposium, gallery openings and art events, double-decker bus tours to mid-century architectural classics, tours of Frey House II, vintage car show, a vintage streamline and modern Airstream travel trailers, plus the desert’s best retro-themed soirees and martini parties.
The Greater Palm Springs Area boasts one of the largest concentrations of Mid-Century Modern architecture in the world and is the perfect setting for Modernism Week each year. With the creative fingerprints of legendary names etched throughout the Valley, including Wexler, Neutra, Frey, and Schindler, Palm Springs has an embarrassment of riches when it comes to highly-coveted Mid-Century Modern homes and structures. Modernism Week 2020 embraces the form and celebrates its unique characteristics, and is a local event to check out for residents and guests alike.
For more information on Modernism Week 2020, including a schedule of tours, events and more, check out the Modernism Week 2020 website.
TOUR DE PALM SPRINGS 2020
Get ready to ride through the Palm Springs Oasis with thousands of other bike riders pedaling for a good cause. The 22nd Annual Tour de Palm Springs is February 7-8. This celebrated event has given both bike enthusiasts and casual riders a chance to pedal their way through Greater Palm Springs
Don’t have a bike? Not to worry, Bike rentals are available. The Tour de Palm Springs is family-friendly and a fun-filled event for both riders and spectators. Join thousands of riders pedaling for a good cause during the Tour de Palm Springs.
Tour de Palm Springs is a CVSPIN-sponsored event with proceeds going to local nonprofit organizations throughout the Coachella Valley.
Our great weather and gorgeous mountain scenery attracts thousands of bike riders every year. Walkers and runners are invited with routes ranging from 1-mile and 3-mile option for walkers and 50-mile and 100-mile for cyclists, making this event attractive to everyone from novice to elite cyclists.
The ride starts and finishes on North Palm Canyon Drive in Palm Springs. Tour de Palm Springs
The Tour de Palm Springs is now one of the largest cycling charity events of its kind in America. Since 1998 the Tour de Palm Springs charity event has distributed nearly $4,000.000.00 to over 150 local nonprofit organizations. Every year between 6,000 to 10,000 cyclists from 46 different states including 4 countries. The Tour de Palm Springs is Nationally known and famous for many reasons and below are just a few of the reasons:
• Entertainment: Over 20 bands will be staged throughout event and along routes for our cyclists
• Finish line: Cyclists are greeted by nearly 100 cheerleaders including large marching bands
• Start line: Cyclists are sent off into the streets with a nearly 200-member marching band
• Start area: Cyclists will exit thru military, police & fire vehicles with sirens on and lights flashing
• Route support: Over 30 vehicles will be used to support cyclists on the routes including vans, buses & others
Palm Springs is the place to be for fun and entertainment! Check out some of the upcoming events for 2020 in Palm Springs.
The 34th Annual Southwest Arts Festival Indio returns to the Empire Polo Club January 23-26 for another year of exceptional art. This 4-day arts festival is recognized as one of the top 100 events in North America by Travel Magazine and features over 250 artists from around the world, displaying a variety of styles and mediums, making it one of the finest juried art festivals in the United States. In addition to masterful works of art, visitors can enjoy unique food and beverage options, live music, and interactive art displays.
Every year the Arts Festival continues to evolve and attract a high caliber of talented artists and unique artwork. This year’s festival will feature live music, with pottery, glass and fine art painting scheduled to be on display.
The festival’s reputation for first-class quality and professional integrity make it one of the country’s finest juried art festivals. As one of the largest annual fundraisers supporting several Coachella Valley based nonprofits, the festival is exceptionally fortunate to have over 200 community leaders and volunteers who contribute numerous hours to make certain that the festival is successful.
The Greater Coachella Valley Chamber of Commerce (The Chamber) is a regional chamber of commerce representing the business interests of over 1,400 members in the Coachella Valley. It was formed as a partnership between the Coachella, Indio, and La Quinta Chambers of Commerce, as well as the Cabazon Band of Mission Indians and Twenty-Nine Palms Band of Mission Indians. The Chamber is the largest regional membership based chamber in Riverside County.
For more information on the 34th Annual Southwest Arts Festival Indio, check out the event page.