Sales Statistics In The Palm Springs CA Area
August 2011 numbers have been reported and they are once again RECORD SETTING!
- It is all about the inventory levels!
Year over year we are seeing a dramtic drop in the inventory levels and a dramatic increase in the number of homes Selling.
Starting with the properties for sale:
At the end of the month of August 2011 there were 5,495 properties for sale valley wide. This reflects a 21.2% drop from August of 2010 when 6,983 properties were for sale.
Looking forward:
we see that the numbers of properies under contract at the end of August 2011 is 1063 a substantial change from the end of August 2010 when a mere 608 properties were under contract.
Lastly, we look at “months supply of inventory” this is the number that says how many months our current inventory would last if home sales contnued a the same pace and no other properties came on the market. Here it is interesting to note the national VS. the local stats. Nationally, at the end of Aug 2010, there was a 9.1 months supply of inventory while locally it was 9.4 months. In August 2011 we saw the trend reverse in a big way. Nationally the number was 5.4 months supply while here in the Coachella Valley we are at an eye popping 3.8 months supply.
For so long the conversation has been all about loan interest rates. With this sort of inventory decline I have to wonder if the conversation shouldn’t shift to availability of housing to buy. Foreclosures are slowing in many parts of the country and short sales take so much longer to complete than a regular sale - the sheer number of properties is simply dropping to record low rates.