The Real Estate Corner Desert Market Update
NUMBER OF SALES
Home sales are up Valley-wide. The total three-month sales are up 2.9%. On a city by city basis, six cities show higher sales, with three; Palm Desert, Desert Hot Springs and Palm Springs showing the largest increase in sales.
The three cities with the largest sales declines are Indio, Indian Wells and Cathedral City.
INVENTORY OF HOMES FOR SALE
While home sales are up, inventories are down. Typically our inventories dip to to their lowest point every year toward the end of September, but this year inventories are even lower.
Low inventory acts as both a positive and negative; it’s positive for sellers and future home sellers as it tends to move home prices higher. But, it’s also a negative in that low inventory puts the brakes on the number of sales. If interest rates continue to increase, that can put a damper on sales as the cost of borrowing money for a mortgage becomes more expensive.
MONTHS SUPPLY OF HOMES FOR SALE BY CITY
The month’s of supply ratio is down valley-wide compared to one year ago in every city. Most have less than 4 month supply except two; La Quinta which currently has a 4.5 month supply and Indian Wells with a 6 month supply of homes to sell.
MONTHS SUPPLY OF HOMES FOR SALE BY PRICE BRACKETS
When we look at the supply of homes by price category, we see the supply is lower across all price brackets compared to one year ago. The biggest change is homes priced above $800,000. Last year the higher price points were taking 7.5 months – 1 year to sell. Now, it’s taking on average 5.3 – 8 months
The tipping point when using this metric is 6 month’s. 6 months is considered a “Balanced Market”, not particularly favoring either Home Buyers or Home Sellers. Less than 6 months, the market is tipped in the Sellers favor, otherwise known as a “Sellers Market”. More than 6 month supply is viewed as a “Buyers Market”.
As home prices or the cost of buying a home, (rising interest rates), increase – sales will start to slow putting downward pressure on pricing. Markets are always in a state of flux, moving from one market to another and rarely stopping at “balanced” for long.
While there is typically a lag period between market shifts, the lag time is shorter as the number of sales are increasing. Home sellers quickly see an improving market and strive to maximize the price they can ask. When prices increase too fast or too far ahead of sales, potential home buyer’s become reluctant to make offers, fearing they could be buying at the peak.
DISCOUNT FROM ASKING PRICE
In 2018, when negotiating a sale price with buyers; home sellers are discounting their listed price an average of 2%. One year ago, sellers needed to discount an average 2.4% off their asking price to close a sale.
For example, this ratio means if a home is listed at $400,000 it’s selling at an average of 98% of their asking price, or $392,000. a discount of $8,000. This metric also shows a strong and improving real estate market here in the Desert.
When we look at the story each of these metrics are showing for the Desert Real Estate Market, we can see an improving but pretty balanced market. In addition, we can see that the market has had and continues to show sustained growth. Making now the right time to be a participant in the market.
The Desert Lifestyle is unlike any other, as we head into our season now is a great time see what the Desert has to offer. Check out these FAB Desert Homes!
Palm Desert Golf Cart Parade 2018
Sunday, October 28th from 12:00 – 3:00 p.m.
It’s time to kick off a new season in the Desert with the Palm Desert Golf Cart Parade! This years theme is “Celebrating our Super Heroes” Our community will showcase and celebrate all of our different types of Super Hero’s including our Police Officers, Fireman, Veterans, Teachers, Parents, the list is endless. Come be a part of the pageantry and fun as scores of whimsically decorated golf carts and bands march down El Paseo.
Palm Desert is a progressive city with an eye on the future – this picturesque desert community has a Dynamic Big City Vibe; with Exclusive Country Clubs, Fine Dining, Art Galleries, Live Theater, World Class Championship Golf and home to the valleys only zoo, The Living Desert, which combines an indigenous zoo with an authentic arboretum. Be a part of what makes Palm Desert the place to be, check out these FAB homes for sale in Palm Desert!
Palm Springs Aerial Tram Road Challenge
October 27, 2018 starting at 7:00 a.m.
If you’re looking for a challenge, then this event is for you! The Palm Springs Aerial Tram Road Challenge 6K run / walk starts at 400 ft elevation and climbs to over 2,600 ft elevation. This is not your typical weekend 5k. This is the 32nd annual event with more than 1,500 participants from around the world come together each year to take the challenge.
Nestled at the base of the San Jacinto Mountains, Palm Springs is known for its crystal blue skies, year-round sunshine, palm tree lined streets and starry nights. Home to the Annual Palm Springs International Film Festival & Modernism Week, Palm Springs has fun & entertainment for all ages. Be a part of what makes Palm Springs the place to be, check out these FAB Homes for sale in Palm Springs
Halloween Chili Cook Off and Car Show at the Palm Springs Air Museum
October 27 from 11:00 – 2:00
Join the fun at the Palm Springs Air Museum’s 11th Annual Chili Cook-Off and Car Show. Volunteers from the Museum cook up their favorite recipes and you decide who’s is the best. It’s a goolish feast for the eyes and the tummy.
Palm Springs is known for its crystal blue skies, year-round sunshine, palm tree lined streets and starry nights. Home to the Annual Palm Springs International Film Festival & Modernism Week, Shopping, Fun and Entertainment for all ages. Be a part of the Palm Springs Lifestyle, check out these FAB homes in Palm Springs
La Quinta State of the City and Business Expo
The Greater Coachella Valley Chamber of Commerce together with the City of La Quinta are hosting the 2018 Business Expo where local business professionals will be recognized for their accomplishments and contributions to their community.
La Quinta Mayor, Linda Evans, will give her State of the City Address with an update on the new bike path that will connect La Quinta to the CV Link, which will span from Washington to Jefferson. Work is expected to begin June of 2019. In addition she will talk about the Highway 111 corridor revisioning, traffic signal synchronization, the SilverRock event site, and the X park skate park.
La Quinta is a city on the move with big plans for the city’s future and you can be a part of it, check out these FAB homes in La Quinta!
10 Staging Tips to Avoid at All Costs!
Home Staging Design can make or break a potential sale. Whether you’re using what you have or starting from scratch, there are some common design mistakes you’ll want to avoid. Here are a few tips to help you make your home look great for the marketing photos and make your potential buyers say WOW!
- Wall Hugger – It may seem like the logical and maybe even the only way to arrange furniture in the room, (especially if you’re working in a small room), but the opposite is actually true, you can harness the flow of a room by centering your pieces, pull them closer to each other instead of crowding your furniture against a wall. You will be amazed how the room takes on a different feel.
- Collection Spread – we’ve heard it before – when selling your home, declutter, and yes that is true. BUT, the truth is we all collect; whether it’s frogs, figurines or forks from the 4th Century AD, and you likely want to have them on display. There is a right way and wrong way to display your collections. First, if you have a lot of items in your collection, trim it down to just a few of your favorites and pack the rest, (you are moving right?). Next, instead of spreading the pieces throughout the room or worse the house, bring them together – the key is small groupings. Arrangements look deliberate and let your pieces speak for themselves. Well laid out arrangements can enhance the staging of your home if you do it right, and let you enjoy your favorite collections while avoiding that cluttered look.
- The Fickle Eye – you’ve lived in your home for years, over those years you’ve probably bought or inherited furniture and incorporated it into your home. Maybe it doesn’t quite match or it’s a little too big for the room or worse, you didn’t have room but still used it since it only partially blocks the walkway. Now, years later you don’t notice it any more, you walk around it every day without a thought. Our eyes can be fickle, they have a way of tricking us. Now that you’re selling your home, it’s time to put on your “Buyer Eyes” and take a good hard look around your house. Are there extra or oversized pieces of furniture that force someone to alter the natural path as they walk through the house? The old saying, “less is more” is absolutely true when staging your home to sell. Don’t set up an obstacle course path with furniture and don’t cram the room full of small décor objects. Make the decisions now whether to store, sell, donate or pitch.
- Dark in Small – Yes dark furniture can make a room feel warm, but they also make a small room feel smaller. If you have a small living room, opt for a lighter color palette.
- Rug Rules – Area rugs are the best way to anchor a room or a setting and they can tie a room together. But used incorrectly, it can also leave your space looking disjointed and cluttered. This is especially true in the living room, your rug should ground all of the seating elements around it. Make sure when looking for the perfect rug, you buy one that is big enough to achieve this affect. If possible, have all legs on the rug with a little rug showing behind the pieces of furniture, creating a frame around the setting. If your living room furniture setting is 6’ x 8’ you should be looking at an 8’ x 10’ rug. Plopping a 5 x 7 in the middle will make the room feel disconnected. Not sure? Get my Rules of the Rug ebook to help bring your rooms together with area rugs.
- Scale – Even designers can get it wrong sometimes; scale is one of the most important, (and sometimes the most difficult) elements of a well put together room. If you have a massive 10’ sectional in the room and put a small 5’ x 7’ area rug in the center or use a small coffee table, it just feels wrong. Maybe you have a large Dining Room space and put a small table in the room, or vice versa you’ve got a small breakfast nook and put a large heavy wood table in the space. Scale is important, think about it when you’re placing furniture or accessorizing a room.
- Balance – Without balance in a room, it can make you feel uncomfortable and even anxious. Balance is as much about emotion as it is about good design and balance gives us a feeling of stability and wellness. Creating a harmonious space depends on a few things; the furniture and the décor placement. Color and texture and the scale of the furnishings and décor. Think about a seesaw, if one side of the room is heavy and weighed down, the room will feel off balance. Example, if one wall has a tall wall unit and wall décor, make sure you balance that wall with something bold on the opposite side of the room. If you have a heavy sofa on one side, balance it with a pair of chairs opposite the sofa or other foundational piece of furniture.
- Matchy – A sure sign of an amateur decorator is where everything including the art matches perfectly. It’s not about perfection, it’s about ambiance. Example, balance a bold color with a large pattern that blends but doesn’t match exactly. Or balance a bright warm color with a textured cool color. Or choose colors that are the same hue but varies in intensity. Homes look professional and well put together when new elements are mixed with old; smooth is contrasted with rough, polished is contrasted with nubby.
- Boring – If you have a boring “beige” room, pick a great color and think about threading a needle, you’ll want to run that thread throughout the room and the house in a variety of different ways with pieces that pick up on that color or color palette.
- Level – Rooms with furniture all the same height are boring. Create interest with changes in elevations through the room. Put tall pieces next to short pieces. If you have a low back sofa, add something like a tall armoire or bookshelf. The reverse is also true with small décor, use the 3:1 ratio. Example, if you have 3 vases of varying heights grouped together, balance them with a single larger décor object on the opposite side of the shelf or mantel. It will make an eye-catching design statement.
These are called common mistakes for a reason and it’s easy to feel overwhelmed. You may not know where to start or the most important detail to focus on. If you would like more information about staging your desert home to sell, give us a call, we’re here to help.
SUMMER STAGING TIPS
Did you know that more than 50% of the desert home sales happen during the summer months? The desert summer real estate market is as hot as it is outside; knowing how to present your home for sale will be an important factor for you to ask and receive top dollar.
Top 6 Summer Staging Tips
Keep it cool as a cucumber. no one wants to walk into a hot house. All of a sudden, they’re thinking how do I get out of here instead of looking at your home. Now is not the time to skimp on energy bills.
Show that the grass is greener. High water costs and water conservation are hard on our summer desert landscape. However, keeping at least the front landscape looking fresh and lush will make your home stand out as the gem. The curb appeal will lure them in.
Set the Mood. set up a refreshing beverage station for your hot and tired home buyer’s and their agents. Place a vase with fresh flowers. Have a pitcher of Ice Tea or Lemonade with lots of ice and pretty glasses set out just before your showing.
Visual Power. Use fresh flowers in as many places througout your house as you can. Make sure your home looks fresh, cheery and refreshing as possible.
Making Scents. Aromatherapy can help make your home more alluring. Scents like Citrus, Eucalyptus or Rosemary say summer. They add a clean refreshing scent to your home.
In the Swing. There is an intimate relationship between music and marketing. Music can evoke an emotional response. The awkward sound of heels on a hard floor is hardly inspiring. Heighten the senses of your buyer with background music, it changes the ambiance and heightens the senses and mood of buyers touring a home. Music has a persuasive impact and can create an illusion of life inside your home for buyers increasing their emotional attachment. The music you play is important, pair the music style to the style of your home and the buyer’s you’re targeting.
Summer Desert Market Report – Mediam home prices rose for the 8th straight month. Up 9.6% from last year. The hottest cities for sales by volume were Palm Desert (233), Palm Springs (213), La Quinta (156), Indio (131), Rancho Mirage (97). Each city and each community has its own story some communities have seen huge growth, while others are relatively flat. The cities that had the largest price increases, have seen the number of sales flatten, which tells us that prices were getting ahead of the market.
Inventories are down again putting upward pressure on pricing. Overall the desert has seen a decline in the time it’s taking to sell, nicely presented homes in a good location and priced well are selling quickly. Currently there is a 3 month supply of homes for sale in the desert, which puts us in a “Sellers Market” as we head into season.
The Fed has indicated there will likely be two more interest rate increases before the end of the year, which could start to weigh on the market and slow sales until the shock is absorbed.
Southern California and specifically, the Coachella Valley continues to be a sought after destination for a second home get a way.
As we head into our “Season”, we expect to see continued strong home sales and price appreciation valley-wide.
How’s your neighborhood doing? Send me an email, I’ve got the details!
The Idyllwild Arts Foundation presentation of the Idyllwild Jazz in the Pines, featuring various genres of blues-based jazz and works by more than two dozen bands with art, food and breathtaking majestic pines as a backdrop and lot’s of cool fresh air.
The Idyllwild Art Campus was temporarily evacuated due to the Cranston Fire. Many feared Jazz in the Pines Festival would have to be cancelled. But thanks to the hard work and invaluable help from over 1,400 fire fighters, the campus was saved. This year is the Silver Anniversary of the Festival and it will go on as planned. The difference this year is the Jazz Festival will be much more than just a celebration of music. It’s a celebration of survival.
President and Head of School Pamela Jordan of the Idyllwild Arts Academy, which produces Jazz in the Pines as a fundraiser, said “This special year now takes on a new level of significance as our community will gather to celebrate our own fortitude, and that of the over 1,400 firefighters who valiantly battled the Cranston Fire to protect us”
The festival opens at 11:00 a.m. on Saturday, August 11, 2018.
Some of this years performers will be
Saturday, August 11
11:00 – 12:15 Idyllwild Jazz in the Pines – French Quarter
Ruby and the Red Hots
Ruby and the Red Hots is a San Diego-based rockin’ blues, R&B, funk, and jazz band. For over 25 years their earth-shaking music has made audiences all over the U.S. and abroad simmer as they’ve performed arrangements of classics as well as original compositions. Ruby (Etoile Ruby Presnell), with her unique and powerful voice, beauty, and sensual stage presence, is known as the “first-class sultry lady of blues.”
12:45 – 2:00 Idyllwild Jazz in the Pines – Main Stage
The Chase Jackson Sextet
This year, one of the new groups at the festival will be the Chase Jackson Sextet. While he will be new to this stage, Jackson is already a popular jazz musician. He has several awards from the Berklee Jazz Workshop, a popular venue for Idyllwild Arts jazz students.
2:30 – 3:45 Idyllwild Jazz in the Pines – Main Stage
Evan Christopher Clarinet Road
Christopher is recognized for his embrace of the early jazz legacies of New Orleans clarinetists Lorenzo Tio Jr., Sidney Bechet, Barney Bigard, and Johnny Dodds. Christopher is an Idyllwild Arts Academy elder statesman as one of the school’s first jazz graduates and student of jazz faculty elder statesman Marshall Hawkins. He toured with singer-songwriter A.J. Croce in the early 1990s and eventually joined the Jim Cullum Jazz Band in San Antonio, where he appeared nightly as their featured clarinetist. Christopher is permanently based in New Orleans, but is a charter member of the Seahawk Modern Jazz Orchestra based in Southern California. Evan will be joined be fellow at Idyllwild Arts Academy graduate and Grammy-winning trombonist Jason Jackson.
2:00 – 3:30 Idyllwild Jazz in the Pines – French Quarter
Euphoria Brass Band
Euphoria Brass Band is a San Diego-based musical collective that serves up a contemporary mix of old school New Orleans traditional brass band jazz, funky street beats, and new school edginess with a West Coast feeling. They recall the early days of New Orleans street bands. Euphoria Brass Band was created in 2011 by New Orleans transplants Ron Bocian and David Bandrowski and local jazz radio DJ Drew Miller. They quickly assembled a top-notch, hard-hitting horn section: Steve Ebner (trumpet), April West (trombone), David Jackson (tenor sax), J.P. Balmat (baritone and alto sax, clarinet), and Wayne Rice (sousaphone). Euphoria Brass Band was nominated five years in a row for various San Diego Music Awards. Embracing the exciting spirit of improvisation with a hard funk edge, Euphoria Brass Band has become known for their incendiary high-energy shows, guaranteed to get a crowd smiling, dancing, and having a good time.
4:15 – 5:30 Idyllwild Jazz in the Pines – Main Stage
Graham Dechter – A Quartet feat featuring John Clayton, Jeff Hamilton and Tamir Hendelman
Graham Dechter plays with the kind of swinging authority and seasoned maturity that belies his youth. The Los Angeles native shows a deep reverence for the jazz guitar tradition in his warm-toned renditions of ballads, bossas, bebop, and blues. A formidable soloist and consummate accompanist, he imbues standards with rare enthusiasm and an inherent bluesiness while carving his own path with affecting original compositions.
Sunday, August 12
1030 – 11:45 Idyllwild Jazz in the Pines – French Quarter
Chuck Alvarez is a Los Angeles-based guitarist/singer/songwriter with roots in blues-rock, who has also earned a reputation for R&B, light jazz, and Americana. Alvarez has composed for nine musicals for national and international audiences.
10:45 Idyllwild Jazz in the Pines – Stephens Hall
Jazzgrass creates an unusual blend of jazz and bluegrass instruments in surprising yet delightful combinations. A cello plays duet with the mandolin, a trumpet and trombone horn section backs up a banjo, a saxophone and a guitar rip out smooth and engaging solos. The tempo ranges from upbeat stomping to mellow swing. The improvisations in these tunes catch the expression of free spirit. In 1999, Idyllwild resident Barnaby Finch put the band together to honor the newer and more progressive side of Bluegrass music. In 2011, he recruited some talented locals to play with him. Don Reed is a virtuoso on mandolin, dobro, and guitar. Sam Zorn, on fiddle, covers everything from jazz to Celtic music. On bass is Bill Saitta, one of the busiest musicians in the Desert, and drummer Jeff Olson also plays with David Benoit. Pianist Barnaby Finch, formerly music director and touring member of Lee Ritenour’s band, has played with Ronnie Laws, Alphonse Mouzon, Boz Scaggs, and Lionel Richie. His piano was featured on the Lionel Richie/Diana Ross hit, “Endless Love.” From 1982 to 1989, Barnaby toured with George Benson, for whom he was conductor and musical director from 1987 to 1989.
4:15 – 5:30 Idyllwild Jazz in the Pines – Main Stage
Casey Abrams featuring special guest Haley Reinhart
Casey Abrams’ story is that of a born natural. But it’s also the story of a person who studied diligently and worked hard, striving toward his dream of a life in music. Casey’s childhood resonated with music. Mother Pamela Pierce is a screenwriter and teacher, plays piano and sings. Father Ira Abrams taught at Idyllwild Arts
Academy. At age ten his family moved to Idyllwild and Casey attended the Idyllwild Summer Arts program prior to enrolling in the Academy. He gained proficiency on guitar, upright bass, cello, drums and the sitar. He credits his jazz and upright bass instructor, the
legendary Marshall Hawkins, for helping him develop into the musician he is today. Casey tried out for and won a spot on American Idol, describing the experience as his ticket to getting his foot in the door. Not long after his Idol experience, Casey found himself in London recording his debut album, working with renowned producer Martin Terefe. Even though his prodigious artistic gifts and wide-screen creative vision augur many great things in the future, his ambition at heart remains very simple: to make music that people love.
Escape Room Palm Springs is great fun for family, friends and team building with co-workers. Choose from six escape rooms and games.
Merlin’s Magic School is in trouble. The entire school was accidentally cursed during a talent show, and only you and your team are able to save everyone by finding Merlin’s hidden spell book. In this game you’ll have to figure out what to do with magical objects, get help from a magical creature, and work your way into Merlin’s secret study. What’s in there?!
Bank Heist, you and your crack team have been assembled to pull of this caper involving sneaking past the banks high tech security, hacking your way into a computer and deciding how you’ll break into the vault. Your objective? Get as much loot as you can before the police spoil all the fun.
Locker Room, Trapped in an abandoned locker room, you and your team will battle wits with a sadistic serial killer. Uncover the fate of the prisoners captured before you and if you’re clever enough, maybe you’ll save more than just yourselves. Both mental and physical challenges will test your mind and spirit.
Vampire’s Lair, A man and woman in Salem, Massachusetts in the late 1690’s fall in love and are set to marry. Shortly before the wedding, the man finds a magic spell in his fiancee’s handwriting – the spell was to make him fall in love with her by unnatural means. He rejects her, call off the wedding and called her an evil witch. “I’ll show you an evil witch!” she vows, and turns him into a vampire, but that’s not all, he finds his coffin impossible to open! Now it’s up to you and your team to uncover the secrets of their love affair and help the vampire reclaim his coffin.
Jack the Ripper, Transport yourself to the slums of Victorian London where you’ll help Scotland Yard solve the Jack the Ripper murders, hopefully without ending up as a next victim. You and your team will uncover evidence that will help you identify the killer as you work through the game. But if you think identifying the world’s most notorious serial killer will be simple, then you don’t know jack.
Escape Room Palm Springs opened in the Fall of 2017 and has been a hit with fans near and far. They’re continually updating / tweaking secret details to keep the games fresh and new so you can go over and over and never get tired of the fun.
Make closer connections with the family, Have a fun afternoon with friends, or even build stronger relationships among your office staff. You’ll experience an unforgettable bonding experience where no special skills are required.