November 17, 2017
October 2017 Market Update
Looks like the perfect storm – Sales numbers are up, and inventory down in most every price segment!
Overall, the market continues to improve, with an increasing number of homes sold in a shorter period, in almost every price segment. The fact remains, many homeowners have had to lower their expectations, by reducing their price to get their home sold, as many set their expectations too high with the improving market, and ended up sitting unsold last season. As the market continues to improve, increased sales numbers should flush out inventory levels, minimize volatility, and soon see values raise overall. Moreover, the economy is growing stronger with positive Jobs Reports, along with the Stock Market seeing all-time high earnings, causing the Feds to reconsider QE (Quantitative Easing) which have held rates down. We will very likely see rising mortgage rates soon. I have spoken with quite a few prospects, that have seen substantial growth in their stock-market portfolio, now considering moving some of their growth into a more tangible real estate asset, all good news for the real estate market.
Read the Good news below… the number of homes sold in the 3rd Quarter 2017 outpaced 3rd Quarter 2016 sales in most price segments, with slightly lower inventory levels, some significant, and a larger pool of buyers pulling the trigger earlier this season. Over the past five years, many prospects were looking in the Fall, watching the market, and waiting until late Spring to pull the trigger, or simply holding off until they saw less volatility in the market. This November, we have 12-Properties in-Escrow, versus 4 Properties in-Escrow last November. Moreover, Dave Kibbey & Associates generated $35.5 Million in sales last year. This year-to-date, we’re at just under $43 Million in first 10+ Months of the year, and we may hit $50 Million in sales by end of year.
For the areas of my expertise (Rancho Mirage, Palm Desert, Indian Wells, and La Quinta), please find below sales breakdowns collectively, based on closed sales year over year:
Price segment $0 – $499,999:
Inventory down 34.8% 1,286-Listings Nov 2016 down to 839-Listings Oct 2017 Good
Sold Homes up 14.8% 194-Homes Sold Oct 2017 up from 169-Homes Sold Nov 2016 Good
Pending Sales up 28.5% 165-Pending Sales Nov 2016 up 212-Pending Sales in Oct 2017 Good
Price Segment: $500,000 – $999,000:
Inventory down 29.6% 878-Listings Nov 2016 down to 618-Listings Oct 2017 Good
Sold homes up 28.8% 76-Homes Sold Oct 2017 from 59-Homes Sold Nov 2016 Good
Pending Sales up 21.9% 73-Pending Sales Nov 2016 up to 89-Pending Sales Oct 2017 Good
Price Segment: $1M – $1.499M:
Inventory down 28.6% 259 -Listings Nov 2016 down to 185-Listings Oct 2017 Good
Sold Homes up 88.9% 17-Homes Sold Oct 2017 up from 9-Homes Sold in Nov 2016 Good
Pending Sales Down 100% 2-Pending Sales Nov 2016 down to 0-Pending Sales Nov 2017 Fair
Price Segment: $1.5M – UP:
Inventory down 16.3% 368-Listings Nov 2016 down to 308-Listings Oct 2017 Good
Sold Homes down 16.7% 10-Homes Sold in 2017, down from 12-Homes Sold 2016 Good
Pending Sales up 200% 3 in Oct 2017, only 1 in Nov 2016 Good
As you can see, the market is strengthening. Please feel free to reach out to Dave Kibbey & Associates for proven professional assistance with your Real Estate Listing, Sale or Purchase. If you’re a buyer thinking of purchasing your dream home, or a seller upsizing or down-sizing, buying a vacation home, family compound, investment property, or it’s simply time in life to sell your desert property, I welcome the opportunity to speak with you. Let’s find out what is important to you, and see what I can do to help you achieve your Real Estate goals.
* Please click here to view the Market Update Trend Reports.
Wishing you Happy Holidays ahead as we move towards an exciting 2018!