Southern California homes are starting to rise across the region. While some areas aren’t getting as high as others, some pockets are getting a lot of attention. One such location is the Coachella Valley, which is seeing a major increase in demand. In fact, in recent months, the area has seen an increase in median price of 13%. Analysts are seeing higher demand for homes, with a median price point of $345,000, up 13%. The available homes for sale may have dropped, but demand is rising, and values are also rising.
California Housing Prices Rising
It should be noted that California as a whole has seen an increase in median home pricing. You’ll find that the average price point for California is around $536,750 and has been rising steadily around 5% annually. Even with such a high price point, you’ll find that the Coachella Valley is lower than the rest of the region. The desert areas of California are lower cost, in high demand, and yet are the most affordable. In fact, one zip code in the desert is touted as the most affordable at only $123 per square foot (92240).
A Buyer’s Market in the Coachella Valley
Families looking to purchase a home today may want to look into purchasing homes in the desert areas of Riverside County, such as Desert Hot Springs and Indio, as the prices are going to continue to rise.
Looking back at overall home sales from the first and second quarter of 2017, new construction sales are down, and yet prices are rising. Median prices are going to continue to rise, as more and more people outside the Coachella Valley, especially in Los Angeles and Orange County seek out other areas to purchase a home. Buyers on the fence, not sure about purchasing a new home will no doubt see prices rising across the region, as indicated by the Coachella Valley real estate numbers that are continuing to jump in 2017.
Overall, buying a home can be a great thing. If you’re interested in Southern California real estate, the affordability ratio is going to change in the coming months, and year. It’s already rising in areas that were traditionally affordable, and will only rise as more people are priced out of Los Angeles, Orange County, and some parts of San Bernardino County. If you’re going to invest, it’s time to look now, as the 13% increase that has come through 2017 may very well only be a sign of things to come.
If you are considering moving to the Coachella Valley or surrounding areas, here is an article that may help you make your decision.