Well, maybe our desert homebuyers aren’t actually going nuts but our local sales trends and our sales activity this year seem to be very contrary to what’s going on elsewhere in the country.
Why do you think buyers keep coming to the Palm Springs Real Estate market while most other real estate markets in the U.S. are flat or in decline? I’m going to take a wild guess that maybe it is due to 350 days of sun a year, beautiful desert vistas showcased by two mountain ranges, over 150 golf courses, low housing prices, or a combination of all of the above.
Palm Springs Real Estate Sales Up 6% In May
Fact is home sales in the Coachella Valley rose six percent (6%) in May in contrast to double-digit sales declines in the rest of Southern California and most of the nation. Condo sales were up a whopping 29.2% compared to May of 2010.
It seems that buyers of second homes are fueling the rise in sales. Buyers from other areas of California as well as from throughout the nation and other countries are all contributing to this surge in sales of second homes.
Foreign Buyers Helping To Stroke Desert Home Sales
USA Today reports “foreign buyers are helping to stroke home sales in U.S. vacation spots.” Top buying locations were in Sunbelt areas of Florida, Phoenix and California. Canadian home buyers accounted for the largest share of foreign buyers accounting for 25% of sales followed by Chinese buyers at 9%.
Many buyers are negotiating bargain prices and paying cash rather that choosing to let their money earn low interest rates in banks. For those interested in financing, historically low interest rates are still available.
If you're considering having your own place in the sun next winter, now is a great time to start making your plans. Please don't hesitate to contact me–even with a simple real estate question.