Real Estate Update for 2nd Quarter 2022

Page 1

2nd Quarter 2022

REAL ESTATE UPDATE

760.776.7070 DIANEWILLIAMSANDASSOCIATES.COM DRE# 01991637 | 01325548


DW & Associates (AKA Diane Williams & Associates) serves as your community expert and lifestyle liaison providing exceptional service to homeowners, members, and potential buyers in Indian Ridge. As the exclusive on-site real estate sales office at Indian Ridge Country Club, DW & Associates are uniquely positioned to provide unparallel expertise and customer service. Located in the main clubhouse, we work closely with membership to ensure your experience is both smooth and enjoyable. We are available 7 days a week and can show homes or provide a club tour with a moment’s notice. We are proud to be one of the top three real estate teams in the Greater Palm Springs Area with over 1,087 transactions representing buyers and sellers for a sales volume of approximately $900,000,000. In Indian Ridge alone, we represented 646 buyers and sellers since 2004 with over $581,000,000 in sales volume making our team the top agents in Indian Ridge.


VA L L E Y W I D E S A L E S T O D AT E

65M

57

$

2022 Closed Volume

2

919M

nd

2022 Total Transactions

$

2022 MLS Team Ranking

Career Sales

I N D I A N R I D G E S A L E S T O D AT E

46M

29

$

2022 Closed Volume

Katie

Allison

1

2022 Total Transactions

Frank

Laura

577M

st

$

Indian Ridge Ranking

Kristeen

Diane

Heather

DIANEWILLIAMSANDASSOCIATES.COM DRE# 01991637 | 01325548

Career Sales

Terrie

Barry


2022 RECORD BREAKING SALES!

740 Elk Clover | Sold for $2,900,000 Highest sold in Indian Ridge History Represented Buyer & Seller

482 Red Arrow | Sold for $1,550,000 Highest price per square foot sold in Indian Ridge History Represented Buyer


W H AT O U R C L I E N T S S AY

DW & Associates were tremendous to work with on the transaction of selling my home. They were great in all aspects of the process. Starting from getting the price I was looking for, finding a buyer, showings, getting my home ready to show, and then taking care of the items that needed to be addressed. After closing Allison took care of my personal items and help pack them up and get them to me. They also were very good in staying in touch with me throughout the whole process from start to closing. Highly recommend DW & Associates!

– Jeff Halpern

We are so grateful for the support we received from the team at DW & Associates. Terrie and Kristeen helped us through a very complicated home purchase, while we were living abroad and in an extremely difficult market. Throughout the entire process, they were friendly, patient, and professional and by the end, almost like part of the family! We couldn’t be happier with our new home.

– Monica Dinsmore


DEAR INDIAN RIDGE RESIDENTS, Happy Summer! Hope this letter finds you and your family well! Our real estate market is continually evolving. The constantly changing landscape of the market can be tricky to keep up with, especially when you weigh in all the conflicting information being published. Know that the market is shifting but the sky is not falling! With all the different opinions and information, it can be hard not to jump to conclusions about where the real estate market is headed. We need to put things into perspective and remember the last two years were record breaking with trends that could not last forever. The perfect storm of record low interest rates, influx of buyer demand and historically low inventory, eventually had to give. However, when people start to speak of a housing slowdown, they immediately expect the economy and housing to behave like it did in 2007. That is simply not the case and what we are experiencing now is an adjustment into a more sustainable and balanced market. The main ingredient our market has needed is inventory which is expected to return to pre-pandemic levels by 2024. Although we are seeing an increase of housing supply, there is still a gap between homes available on the market and buyers looking to purchase. In 2007 Southern California had nearly 120,000 homes for sale, compared to only 20,000 homes for sale today. We are significantly below prepandemic averages, as well as 2007 numbers. The housing market has already digested the 5% plus interest rates and still, plenty of buyers continue to enter the market. With that being said, buyers are being more price conscious due to many factors, such as inflation, buyer fatigue and diminished spending power from recent rate increases. What remains true is homes that are priced correctly will always sell more quickly than those where sellers have unrealistic expectations. Today’s housing market looks very similar to pre-pandemic 2019, which was considered the strongest housing market in a decade at that time. It’s important to remember when we compare markets that we do not look at 2020 and 2021 as a marker. That period may have been a rarity with an unhealthy velocity that we all knew would come to an end. With the pandemic, we saw rapid home price appreciation while home prices were already appreciating at healthy rates before. In fact, statistics show a healthy trend for the last consecutive 10 years. However, since 2020, the increase was more dramatic simply because there were more buyers than homes. Experts are still predicting continued appreciation, but at a more stable and sustainable pace. See graph for predictions from seven industry leaders, note that none are projecting for prices to crash!


HOME PRICE FORECASTS FOR 2022

The real estate craze that took place throughout the country was no stranger to the Coachella Valley. However, like many other regions, it seems as if we are starting to see a more balanced housing market again. In the first quarter of 2022, total Coachella Valley Home sales were at 2,746 compared to second quarter total home sales of 2,803, an increase of 2.8%. This increase is due to the rising inventory levels across the entire Valley. We have also seen the number of days on market increase, especially as we move into our summer season. Even if sellers drop their asking price, they are still realizing favorable gains with the increase in home prices over the last two years. While Indian Ridge did see a significant drop in sales from Q1 and Q2 of 2021 (82 homes sold) compared to Q1 and Q2 of 2022 (41 homes sold), we ended Q2 on a positive note both in number of total sales and dollar volume. Total sales volume in Q2 was $36,470,000 compared to Q1 total sales of $22,719,000. We also saw an increase in the average price per square foot. Homes in the PUD sold for $589/sf compared to $542/ sf in Q1 2022. The HOA average price per square foot also rose to $542/ sf compared to $462/sf in Q1. While we expect the summer sales to be slower than the first half of 2022, we do believe sales will continue to be strong through the remainder of the year. Keep in mind that just like the rest of the Nation, Indian Ridge has returned to a more normalized real estate market in terms of number of homes on the market, total sales volume, and days on market. We would be happy to discuss the real estate market with you and what we are seeing at DW & Associates. As always, it is a privilege to serve as your Indian Ridge experts at the On-Site office for the past seven years. Sincerest Regards, DW & Associates


INDIAN RIDGE COUNTRY CLUB SALES JANUARY 1, 2022 TO JUNE 30, 2022

YELLOW highlighted homes indicate DW & Associates Represented Buyer or Seller BLUE highlighted homes indicate DW & Associates represented BOTH Buyer and Seller


29 TOTAL TRANSACTIONS IN IRCC YEAR-TO-DATE

17 2022

HOMES SOLD BY DW & ASSOCIATES REPRESENTING SELLER

12 2022

HOMES SOLD BY DW & ASSOCIATES REPRESENTING BUYER


INDIAN RIDGE QUARTERLY HOMES SALES ACTIVITY HOA TOTAL SALES VOLUME

2020

Q1

Q2

Q3

Q4

2021

Q1

Q2

Q3

Q4

2022

Q1

Q2

Q3

Q4

PUD UNITS SOLD

AVG. PRICE PER SF AVG. DOM

$7,380,500

11

$246

101

$11,634,900

12

$303

69

$5,678,000

8

$266

97

$8,959,900

7

$353

60

$10,056,800

15

$258

99

$16,847,210

15

$334

99

$10,923,000

15

$302

81

$15,074,400

15

$329

94

$12,642,000

18

$300

53

$24,598,792

21

$365

56

$23,941,400

28

$341

33

$19,077,500

15

$373

76

$10,147,000

11

$389

33

$10,568,000

8

$441

42

$13,603,500

13

$431

30

$15,735,000

11

$448

47

$9,719,000

8

$462

37

$13,000,000

8

$542

51

$16,605,000

14

$489

32

$19,865,000

11

$589

30

--

-

-

-

--

-

-

-

--

-

-

-

--

-

-

-


2nd QUARTER C O M PA R I S O N 2020

HOA AVERAGE PUD AVERAGE SALES PRICE SALES PRICE

$690,472

$1,061,240

TOTAL SALES VOLUME

TOTAL UNITS SOLD

$14,637,400

15

2021

HOA AVERAGE PUD AVERAGE SALES PRICE SALES PRICE

$819,831

$1,232,824

TOTAL SALES VOLUME

TOTAL UNITS SOLD

$43,018,900

43

2022

HOA AVERAGE PUD AVERAGE SALES PRICE SALES PRICE

$1,196,545

$1,729,736

TOTAL SALES VOLUME

TOTAL UNITS SOLD

$59,189,000

41


SALES UPDATE BY CITY

2021 2ND QTR SALES

2022 2ND QTR SALES

% CHANGE QTR SALES

3,586

2,803

-21.8%

BERMUDA DUNES

63

50

-20.6%

INDIAN WELLS

150

111

-26.0%

INDIO CENTRAL

98

89

-9.2%

LA QUINTA NORTH

90

51

-43.3%

LA QUINTA SOUTH

567

339

-40.2%

PALM DESERT EAST

320

219

-31.6%

PALM DESERT NORTH

185

137

-25.9%

PALM DESERT SOUTH

202

163

-19.3%

PALM SPRINGS CENTRAL

207

159

-23.2%

PALM SPRINGS NORTH

187

155

-17.1%

PALM SPRINGS SOUTH

284

249

-12.3%

RANCHO MIRAGE

354

273

-22.88%

SUN CITY

126

122

-3.2%

COACHELLA VALLEY

Information compiled from the California Desert Association of REALTORS® FlexMLS. All information is deemed reliable but not guaranteed due to the new system.


2ND QUARTER O F 2021 COMPARED TO 2ND QUARTER OF 2022

2021 2ND QTR AVG PRICE

2022 2ND QTR AVG PRICE

% CHANGE AVG PRICE

$717,705

$887,797

23.7%

$596,537

$723,254

21.2%

$1,383,310

$1,840,131

33.0%

$399,614

$508,704

27.3%

$508,322

$613,080

20.6%

$1,006,867

$1,329,986

32.09%

$511,992

$669,067

30.68%

$482,635

$653,006

35.30%

$984,333

$1,292,594

31.32%

$856,859

$1,006,213

17.43%

$577,286

$824,880

42.89%

$760,938

$886,610

16.52%

$870,157

$1,177,784

35.35%

$494,089

$612,758

24.02%

INTERESTED IN COUNTRY CLUB HOME SALES?

Visit this link or scan the QR code above to see full Quarterly Update. dianewilliamsandassociates. com/advertising


COACHELLA VALLEY TOTAL HOME SALES EVALUATION 2021

SALES UNDER $500K

SALES OVER $500K

Q1

1,813......... 54.4%

Q1

1,519......... 45.6%

Q2

1,771.. ........ 49.5%

Q2

1,806........ 50.5%

Q3

1,295.. ....... 49.7%

Q3

1,339.. ........ 51.3%

Q4 1,1152........ 43.6%

Q4 1,514.......... 57.3%

SALES UNDER $1MIL

SALES OVER $1MIL

Q1

2,842 . . .... .85.41%

Q1

487............ 14.6%

Q2

2,995 . . ...... 83.7%

Q2

582............ 16.3%

Q3

2,241 . . ....... 85.9%

Q3

380 . . .......... 14.6%

Q4 2,210........ 83.6%

Q4 446.. .......... 16.9%


Q1 1ST QUARTER Q2 2ND QUARTER Q3 3RD QUARTER Q4 4TH QUARTER

2022

SALES UNDER $500K

SALES OVER $500K

Q1

1,009........ 36.7%

Q1

1,770.. ....... 65.4%

Q2

877............ 31.3%

Q2

1,924.. ....... 68.6%

Q3

......................... %

Q3

......................... %

Q4 ......................... %

Q4 ......................... %

SALES UNDER $1MIL

SALES OVER $1MIL

Q1

2,161.. ........ 78.7%

Q1

596. . .......... 21.7%

Q2

2,187......... 78.0%

Q2

615. . ........... 21.9%

Q3

......................... %

Q3

......................... %

Q4 ......................... %

Q4 ......................... %


76-375 Country Club Dr. Palm Desert, CA 92211

Display of MLS data is deemed reliable but is not guaranteed accurate by the MLS. The Broker/Agent providing the information contained herein may or may not have been the listing and/or selling agent. Broker does not guarantee the accuracy of square footage, lot size or other information concerning the condition or features of property provided by seller or obtained from public records or other sources, and the buyer is advised to independently verify the accuracy of that information through personal inspection and with appropriate professionals. Sales may not represent all brokers.

If your home is currently listed with another Realtor, this is not intended as a solicitation. It is not our intention to solicit an other agents active listing.

DRE# 01991637 | 01325548

760.776.7070 realestate@dwateam.com dianewilliamsandassociates.com


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