What's in Store for the Palm Springs Real Estate Market in 2019?

I read lots of interesting articles at Inman, a site devoted to everything “real estate”.

Today, there’s a good one about what’s possibly in store for the market in 2019. The consensus, at least among those who voice their opinions, is that the real estate market will be flat in 2019.

While our market is still driven in a large part by what’s happening along the Pacific Coast and some large northern markets (New York City, Chicago, etc), I don’t see us quite so dependent on those markets as we were when we suffered disproportionately from the great 2008 crash.

As you probably know, the coastal markets along the west coast have been insanely crazy the last several years. We’ve seen unprecedented price gains in LA, San Diego, The Bay Area, and Seattle. All markets that do affect our local prices. My friends and former colleagues in the Bay Area tell me they’re seeing a definite shift in the market there. Homes are staying on the market longer, and, gasp, they’re even experiencing price reductions!

It’s most likely time to think about a flattening real estate market in Palm Springs

How could a slowing market along the coast affect our sales in the desert? Again, even though we’re likely less dependent on those markets than we once were, I think we’ll still see the affects. Fewer people may be willing to buy a second home, or they may decide to hold off on buying their retirement home until closer to their retirement. Those who already own in the desert may decide to hold off on “upsizing” because of higher interest rates, and the new tax laws passed by republicans in DC limiting mortgage interest and property tax deductions. It may even affect those wanting to “downsize”, depending on the price points.

There will certainly be folks who have plenty of equity in their coastal homes and decide to make the move regardless of a flattening market. A flattening market is certainly better than a declining market…for sellers. While it may be too late in this cycle to “strike while the iron is hot”, the iron isn’t unplugged!

My hunch is that “good” Palm Springs properties that are marketed well (show nicely, priced well, and with good, positive exposure) will continue to sell for a good price (top dollar) and in a desirable amount of time.

If you’re thinking about selling, I’m happy to have a conversation about how we can achieve top dollar for you.

Russell Hill/760.898.8399/russell@poolsidewithrussell.com/dre 1427657/homesmart