After several years of rapid price growth and pandemic-era volatility, the residential real estate market across Greater Palm Springs is settling into a slower, more balanced phase, according to the latest data from the Greater Palm Springs Realtors Desert Housing Report.
The November 2025 report shows a market that is no longer overheating, but also not in decline. Prices have largely held onto their pandemic-era gains, sales are steady but below historic norms, and buyers now have more time and leverage than they have enjoyed in years.
“This is what normalization looks like,” said longtime local realtor Jon Gordon, who has worked in the Coachella Valley through multiple market cycles. “We’re not seeing the frenzy of 2021, but we’re also not seeing distress. It’s a thoughtful market now.”
Prices Hold Steady, With Pockets of Softness
The median price of a detached single-family home across the Coachella Valley ended November at $644,776, down a modest 0.8 percent from a year earlier. Attached homes, including condos and townhomes, showed more softness, with a median price of $419,000, a 6.3 percent year-over-year decline.
While the regional numbers suggest stability, price performance varies significantly by city. Indian Wells remains an outlier on the high end, with the average detached home up 17 percent from a year ago. At the other end of the spectrum, Cathedral City saw a 5.2 percent decline, while Palm Springs remains more than 20 percent below its 2022 peak.
“What the data tells us is that this isn’t a single market,” Gordon said. “Luxury enclaves like Indian Wells are behaving very differently than entry-level or mid-market cities. Buyers are still willing to pay for premium locations, but they’re cautious everywhere else.”
Sales Below Normal, But Improving
Sales activity remains below historic norms, with total sales running about 26 percent under pre-pandemic averages. Still, the three-month average of sales in November rose to 538 units, up from 480 units a year earlier. Dollar volume also increased sharply, reaching $449 million for the month, a 20.7 percent jump year over year.
Palm Springs led the valley in total sales, followed closely by Palm Desert and La Quinta. At the same time, higher-priced homes continue to dominate overall dollar volume. Nearly half of all dollar sales in the valley came from homes priced above $1 million.
“This is a market that still has money flowing through it,” Gordon said. “What’s changed is the pace. Buyers aren’t rushing, and sellers can’t assume demand will bail them out if they overprice.”
Inventory Rebuilds, Shifting Leverage to Buyers
One of the clearest signs of change is inventory. Total active listings across the valley rose to 3,342 homes, nearly matching pre-pandemic levels and up about 5 percent from last year.
That increase has pushed the region’s “months of sales” ratio to 5.4 months, a level that signals a market tilting toward balance, and in some cities, toward oversupply. Rancho Mirage now has nearly eight months of inventory, while Desert Hot Springs remains the tightest market at 4.8 months.
“For the first time in a long while, buyers actually have choices,” Gordon said. “They can compare homes, negotiate repairs, and take a breath. That’s healthy for the long-term stability of the market.”
Homes Taking Longer to Sell, Discounts Widen Slightly
Homes are also taking longer to sell. The median days on market across the valley rose to 53 days, about 10 days longer than last year. Bermuda Dunes stood out with a median selling time of 94 days, while Indian Wells and Cathedral City posted the shortest times, both under 50 days.
Price negotiations are becoming more common as well. Detached homes sold at an average discount of 2.4 percent from list price, while attached homes averaged a 3.6 percent discount. Only about 11.7 percent of homes sold above list price, down from more than 15 percent a year ago.
“That tells you sellers have to be realistic,” Gordon said. “The days of throwing a number at the wall and waiting for multiple offers are over. Homes that are priced right still sell. Homes that aren’t, sit.”
What Comes Next
Looking ahead, market watchers say mortgage rates remain the biggest wildcard. Sales volume has stabilized, but affordability pressures continue to limit demand, particularly for first-time buyers.
Still, the fundamentals suggest a market adjusting rather than unraveling.
“This is a reset, not a crash,” Gordon said. “Prices have flattened, inventory has normalized, and buyers and sellers are meeting each other again. For people who live here or plan to stay long-term, that’s a good thing.”
Source: Greater Palm Springs Realtors Desert Housing Report, November 2025
