Our July 2021 Coachella Valley real estate market recap dives into the key takeaways from the latest batch of desert housing data. As with all our market summaries, the numbers in the recap below are representative of our region. If there is a specific city, community, or neighborhood you are interested in learning more about, please connect with your local Bennion Deville Homes real estate professional. We will Unlock Possibilities for you.
Comparing the July stats on an annual basis, the numbers from this year offer a stark contrast to last year. Scant inventory available continues to create upward pressure on home prices, while peripheral stats, such as listing time (average days on market) and listing discount (sold price versus list price), reflect the shockwaves these economic conditions create. Homes are selling in less than half the time they did last year, while the listing discount has disappeared, and has actually gone the other way. On a monthly basis, there are some interesting items to note as well, especially as we head out of summer and toward the cooler months of fall. The number of homes sold dropped dramatically month-over-month, but the number of homes for sale increased by an equally dramatic number. This bucks the trend of the previous months, where we saw a consistent decline in inventory. Perhaps this is the start of a course reversal, with more homes going up for sale as the start of our traditional sales season approaches. With a shallow pool of supply and a deep pool of buyers looking for properties, this is a fantastic time to sell your property and earn top dollar. As more homes hit the market in the coming months, we anticipate a price course correction could happen once buyers have more options to pursue.
In July 2021, 864 home sales occurred within the desert resort cities, a 13.9% decline from last July and a 16.4% drop from the prior month. Those sales accounted for over $569 million in sales volume, a 6% gain from the previous year but a 22.6% decrease from June 2021. Homes across the desert finished the month with a $659,000 average sale price, a 23.2% increase year-over-year, but a 7.4% dip from the prior month. Similarly, the average price per square foot of a home ended the month at $333.00, a 28.6% increase over last year but a 2.1% decline from the previous month. The sales pace, noted as average days on market, clocked in at a speedy 33 days, a 59.3% drop (faster) than last year and a 5.7% decline from June. The listing discount, noted as the percentage difference between sold price and list price, ended the month at 101% (or +1% over asking price), a 4.1% increase year-over-year and a 1.0% increase over the month prior. The month ended with 730 homes available for sale on the market, a 64.0% drop from last year but a 17.6% increase month-over-month. Overall, there is a 0.8-month supply of homes available for sale on the market, a 60.0% decrease year-over-year and a 33.3% increase over June of this year. A 6-month supply of homes is considered a balanced market.
As the market numbers and analysis above demonstrate, we are in an extreme sellers’ market. Anyone who is thinking about putting their home up for sale should strongly consider cashing in now. If you would like to learn more about what your home is worth in our current market, please connect with your local Bennion Deville Homes real estate professional.