In June, the median price of a detached home in the Valley was $599,000, up 30.5% over last June. The median price for attached homes in the Valley surged to $365,000, up almost 33%. Gains in city median prices range from 48% for Rancho Mirage to 9.1% in the city of Coachella. Five cities have gains for detached homes over 30% – Rancho Mirage, Palm Springs, Indian Wells, Desert Hot Springs and Indio.
In June total sales averaged 1,198 sales a month, down from 1,300 units last month. Even with that, sales are still running 90% above year ago levels. Long-term, total sales are up 52%. This is rather evenly distributed between detached and attached sales, with detached sales up 48% and attached sales up 62%.
On July 1st there were 654 units for sale compared to 2,340 units last year. This low supply, coupled with surging sales, are the two forces pushing home prices higher. The month of sales ratio at the end of June was .6 months, the lowest ratio in history. At the current sales rate, inventory would be completely absorbed in just two weeks. A year ago, the ratio was 3.7 months.
