January, 2014 Sales Analysis

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 January, 2014.

In January, the current inventory of “Active Listings” is starting to increase. The Coachella Valley has transitioned from a buyers market to a sellers market. Most of the popular segments of the market have already moved to the sellers favor and prices in most segments is beginning to increase. We are beginning to see activity in the million dollar+ market which had been particularly slow in the last few years.

The point at which the market changes from buyer to seller is determined by the months supply of homes for sale. According to the National Association of Realtors (NAR) the market is defined by the number of months supply of homes currently for sale. The dividing line between a Buyers / Sellers market is 6 months supply. Months Supply is determined by dividing the total number of sales in the last 6 month period by 6 to get the average number of sales per month and dividing that number into the current number of active listings.

For example: If the total homes sold in the past 6 months = 18 then 18/6 = 3 sales in the average month. If the current active “for sale” inventory was 21 then 21/3(Avg Mo Sales) = 7 Months Supply which would qualify as a weak buyers market. 6 months supply is considered a “Normal” market and anything less than 6 months supply is defined as a sellers market.

Here is a breakdown of current months supply in the City of La Quinta:




Notice that the Average price per square foot graph (above), which shows the famous “Bubble” (2002 – 2009) now shows that the current price is back on track with the historical average rate of real estate appreciation of 4.5%.

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