Even though home prices in the valley have risen 55 percent and distressed sales have fallen to 15 percent from a high of 60 percent, many people worry about this housing market.
A 1 percent increase in mortgage rates in June and July scared many homebuyers, and generated a growing belief the recovery was over because higher rates were ahead.
The slow housing season has begun in the Coachella Valley — a good time to review the progress of the recovery. Pricewise, it’s doing well.
Housing continues strong recovery throughout the Coachella Valley. The median price per square foot had risen 23 percent over last year.
Home prices in the first four months of the year continued to surge at double-digit rates. A close look at these large gains reveals an important mechanism driving the housing recovery in the Coachella Valley.
Home prices are higher, but there is concern that the Fed’s Quantitative Easing program might create another price bubble or that rising mortgage rates of the last few months will stop the housing recovery.
In this presentation Market Watch explains in detail the Distress Housing Market Model used to predict the 20% price gain in the Valley’s housing markets in 2012.
The Market Watch seminar on April 26th begins by explaining to us the 8% price gain in the median price per sq. ft. of a Valley home during the first three months of this year.
Results for the first quarter of 2013 show the continuation of the strong housing recovery begun last year.
As the Coachella Valley housing recovery continues to evolve, the area’s median price per square foot declined slightly in February. Of the nine desert cities, six grew and three declined.