Category: La Quinta Communities

Here are the latest sales numbers for all homes sold within the City of La Quinta as well as all Golf Course homes in La Quinta from January, 2008 through May, 2013.

We continue to have the same “new” problem, a lack of listings to sell. Even the summer months are busier than years past. Here is an idea of how tight inventory is. Normally a gated community has 10% of the homes available for resale. Here are the stats for 3 La Quinta communities:

Mountain View CC: 426 homes, 22 for resale – 5%
Rancho La Quinta CC: 960 homes, 31 for resale – 3%
Citrus Club: 576 homes, 6 for resale – 1%

Sales volume and price/sqft numbers show upward movement in the months of April and May 2013 compared to the same months in 2012. It will be interesting to see the numbers in the coming summer months as well as into the next season. Will the higher mortgage rates or any other economic factors have adverse effects on turning this positive movement into a real trend for 2013?

Here are some charts showing the present market.

 

 

 

 

 

 

The pink line represents a 4.5% rate of appreciation, which is the historical rate of appreciation (going back to 1968) according to the National Association of Realtors.
 

Here are some yearly sales figures (units) for the City of La Quinta from 2002:

Year	All	LQ Golf Course
2002	1,356	259
2003	1,572	640
2004	1,938	785
2005	1,563	638
2006	1,118	483
2007	942	444
2008	1,076	405
2009	1,202	409
2010	1,360	518
2011	1,446	510
2012	1,532	587
2013 YTD	762	335

* Remember that the sales numbers represent “Closed” escrows. Since the average escrow is between 45 and 60 days, the decision to purchase the homes that closed in June was probably made in March to early April.

Source: DesertAreaMLS

Here are the latest sales numbers for all homes sold within the City of La Quinta as well as all Golf Course homes in La Quinta from January, 2008 through March, 2013.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

The blue lines represent 2008 data, the orange lines represent 2009 data magenta lines represent 2010, green lines represent 2011 data, purple lines represent 2012 data and the pink lines represent 2013 data.

2013 is turning out to be one of the best years we have enjoyed since 2008. As Realtors, we are faced with a new problem that we haven’t seen in years; a lack of listings to sell. For the last few years, we struggled to get buyers for our listings, now the market has come around 180 degrees. now we are up late at night trying to figure out where we can get quality listings for our buyers.

In recent blogs, I have been mentioning about how, although it is a fact that the Median price of homes is going up, the price per square foot of home has not increased as dramatically. Now we are beginning to see a slight upward movement in the mid priced homes ($500,000 – $800,000) but that trend has not yet affected the higher priced homes. This trend is also the effect or the reduced number of distressed property sales that pull everything down.
I have also included some other charts of interest.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Here are some yearly sales figures (units) for the City of La Quinta from 2002:

Year	All	LQ Golf Course
2002	1,356	259
2003	1,572	640
2004	1,938	785
2005	1,563	638
2006	1,118	483
2007	942	444
2008	1,076	405
2009	1,202	409
2010	1,360	518
2011	1,446	510
2012	1,532	587
2013 YTD	398	170

* Remember that the sales numbers represent “Closed” escrows. Since the average escrow is between 45 and 60 days, the decision to purchase the homes that closed in June was probably made in March to early April.

Source: DesertAreaMLS

 

 

Here are the latest sales numbers for all homes sold within the City of La Quinta as well as all Golf Course homes in La Quinta from January, 2008 through February, 2013.

 

 

The blue lines represent 2008 data, the orange lines represent 2009 data magenta lines represent 2010, green lines represent 2011 data, purple lines represent 2012 data and the pink lines represent 2013 data.
Looking at the numbers, 2012 was a good year for real estate in La Quinta and 2013 looks like it will be an even better year. The first quarter of 2013 will be the strongest quarter since 2008.
I’m sure you are aware that the news media is hyping the “rise of the median home prices”. That is a fact. The median price is rising but there is more to the story. The “Median” price is the middle price in the list of prices. That list of prices contains both “normal” sales and “distressed” sales (short sales and foreclosures) which sell at “distressed” (lower) prices. If the number of “distressed” sales dimishes, the median price will move higher up the list but that does not necessarily mean that the prices at the high end of the list have changed at all. The good news is that prices in general have begun to follow the “normal” 4.5% real estate rate of appreciation.

 

The difference in the “Normal” line and the “Actual” line after 2010 is in part due to the distressed sales keeping the overall numbers lower. The drop in the prices in 2011 can be attributed to the number of distressed property sales rising to over 50% of all sales. Prior to 2009, “Distressed” sales accounted for less then 5% of all sales. As the “Distressed” sales become a significant part of the number of sales, they also hold the value of “Normal” sales back because they are used as comparable’s during negotiations and appraisals.

Here are some yearly sales figures (units) for the City of La Quinta from 2002:

Year	All	LQ Golf Course
2002	1,356	259
2003	1,572	640
2004	1,938	785
2005	1,563	638
2006	1,118	483
2007	942	444
2008	1,076	405
2009	1,202	409
2010	1,360	518
2011	1,446	510
2012	1,532	587
2013 YTD	239	98

* Remember that the sales numbers represent “Closed” escrows. Since the average escrow is between 45 and 60 days, the decision to purchase the homes that closed in June was probably made in March to early April.

Source: DesertAreaMLS