December 31st, 2015
Did 2015 sales numbers outperform 2014 numbers?
Aloha, I write this market update letter from the spiritual BIG Island of Hawaii, where my wife and I love to complete our year, reflecting on 2015 and the new year to come setting new inspiring 2016 goals and beginning our new year with an Aloha spirit.
Whether you’re a friend, current or past client, affiliate, associate, or valuable member on my team… knowing life’s up’s and downs, I’m hoping that overall your goods outweighed your bads and that 2015 was a another great year for you all. I’d like to THANK YOU with all my heart for the connection we share, and wish each and every one of you a Healthy, Prosperous, and Happy New Year.
Wow… 2015 flew by and a career BEST for Dave Kibbey & Associates in both the amount of listings taken and sold, overall a large number of clients I’ve been able to help achieve their real estate goals. Gratifying to say the least!
The market is healthy with a significant number of sales, though buyers are in the know seeing big inventory levels (selection of homes on the market). A perfect storm for buyers today; a plethora of home inventory to select from, and many motivated sellers chomping at the bit to get their homes sold, along with historically low mortgage rates which we will likely see an increase this year. With that said we hope to see buyer demand increase and out perform inventory in 2016. If we do not… we may see a continued decline in values in many different price segments. Buyers and sellers continue to butt heads with buyers in the know as mentioned above, and tough sellers, some unrealistic with their expectations in many cases causing multiple counter offers to structure a firm deal. Year 2016 will be an interesting year with presidential elections coming, and so much uncertainty in government and world affairs today, though I can promise you I will continue to look out for my clients best interests no matter what, shed light on the market helping my clients make informed decisions, and have another great record year.
Overall… the luxury market continues to do well. Sales numbers are down slightly in some communities, though values seem to be on the rise in some communities. Many of these luxury homes are very high quality homes with serious WOW factors generating high sales numbers. There are quite a few dated luxury homes on the market, many of which seem to be overpriced with the seller being the highest bidder thus sitting on the market unsold. Sellers have to make sense of their value and many times don’t even realize their home is dated until they see other listings in the same price point offering newly remodeled interiors and amenities. Honesty always helps clients make an informed decision.
Staying focused on the market, here is a breakdown of how 2015 sales numbers and values stacked up against 2014. Both sales and values dropped in most areas with of course a few exceptions as follows:
$250K – $500K Price Segment
Sales numbers and values were down with the following exceptions; La Quinta values were par with last median sales price @ $345,000. Indian Wells enjoyed a 2% increase in values @ $393.500
$500K – $750K Price Segment-
Sales and values were all down with the exception on Indian Wells, where sales were par with 2014. Median sales price of $600,000
$750K – $1MM Price Segment-
Sales numbers dropped in all four cities. Palm Desert enjoyed a slight increase in values with a median sales price of $855,000, and Indian Wells remains par with a median sales price of $825,000
$1MM -$1.25MM Price Segment-
Sales numbers dropped in all four cities though both Rancho Mirage and La Quinta enjoyed a slight increase in values. Rancho Mirage and La Quinta median sales price $1,150,000
$1.25MM – $1.5MM Price Segment-
Sales were down in all four communities though both Rancho Mirage and La Quinta enjoyed a 3% increase in value
$1.5MM – $2MM Price Segment-
Sales were up in all four cities with La Quinta enjoying the largest just almost doubling their sales from 24-39 though La Quinta values dropped 5%. All other cities Values were UP.
$2MM – $2.5MM Price Segment-
Rancho Mirage enjoyed a jump in sales from three last year to five this year. Values were UP in all four cities
$2.5MM – $3MM Price Segment-
Sales numbers were par in both Palm Desert and Indian Wells… up slightly in both Rancho Mirage and La Quinta. Values were UP slightly in Rancho Mirage and La Quinta
$3MM and up Price Segment-
Sales numbers were down in all four cities except La Quinta enjoying two more sales than last year. Values were down slightly in Indian Wells & Rancho Mirage, though La Quinta enjoyed a 9% increase, and Palm Desert values remain the highest from $6MM – $6.2MM.
Click Here to see specific sales and values numbers for all four cities.
I hope you find these updates helpful and informative, and I welcome the opportunity to speak with you. Please feel free to reach out. Wishing you only the very best in 2016!