August Market Update: Buyers Wait, Sellers Adjust

August in the Coachella Valley is always quieter. The desert heat keeps many seasonal residents away, and this year the data reflects that familiar seasonal slowdown—only with a few added wrinkles.

📉 Prices: Holding Steady, But Flat

• Detached homes: Median price $648,348, essentially flat year-over-year (-0.1%).

• Attached homes: Median price $439,950, down 1.1% from last year.

The takeaway? Home values are holding, but they’re not climbing. This is consistent with what we’ve seen through much of 2025: the market has largely held onto pandemic-era gains, but buyers are no longer rushing to push prices higher.

📊 Sales and Volume: Seasonal Dip with a Side of Caution

• 3-month average sales: 550 units, down from 589 last year.

• 12-month average: 596 units/month, also slightly lower.

• Dollar sales: Flat at $450 million, same as last year.

This isn’t a crash—it’s summer. But with sales running 32.6% below historic norms, the valley is still waiting for a stronger recovery in buyer demand.

🏠 Inventory and Days on Market: Buyers Get Breathing Room

• Inventory: 2,796 homes, up 25% year-over-year.

• Months of supply: 4.7 months, up from 3.7 last year.

• Days on Market: 60 days, 12 days longer than last year.

For sellers, this means more competition and longer waits. For buyers, it means more options and negotiating leverage.

💡 What This Means for Sellers

• Be prepared for longer listing times (Palm Desert homes averaged 71 days to sell in August).

• Pricing competitively matters more than ever—buyers have choices.

• The share of homes selling above asking fell to 10.7%, down from 13.5% last year.

💡 What This Means for Buyers

• Discounts are back: detached homes sold at 2.9% below list on average, attached homes at 3.5% below.

• With more homes on the market, you can afford to be choosy.

• But don’t wait forever—inventory typically bottoms out in late summer before picking back up in fall.

🏦 Looking Ahead: The Federal Reserve Factor

The big question: will the Fed’s expected rate cut next week boost housing demand here in the desert?

Maybe—but not necessarily. Mortgage rates don’t always fall in lockstep with Fed policy. Even if they do dip, affordability remains stretched, and seasonal patterns still rule the Coachella Valley. Buyers may show more interest if rates drop, but the impact might not be immediate—or strong enough to turn the market around overnight.

🌴 Bottom Line

The August numbers confirm what we already know: inventory is up, sales are down, and homes are taking longer to sell. Buyers have the advantage, but sellers still hold solid equity thanks to stable prices. With the Federal Reserve in play, fall could bring fresh momentum—but for now, the desert market is in a holding pattern.

📞 Thinking about making a move? Whether you’re a buyer looking for the right opportunity or a seller wanting to maximize your home’s value, now is the time to have a strategy. Let’s talk about your goals and create a plan that works in today’s market.

👉 Contact me today to get started.