June 2025 Hi-Desert Real Estate Market Update
Greetings Real Estate Fans,
The weather is sizzling, but sales remain cool in our Hi Desert communities. There is a lot of real estate news nationally. In our local area, inventory remains high. In fact, it is very high. In mid-May we crossed over having 900 active listings in our communities. Last month we closed on 80 escrows. This translates into an 11+ month inventory in our area. This is very high. Nationally it is believed there is a five-month inventory. The industry considers it a balanced market with six months inventor. Our area seems balanced at a four-month inventory. Inventory is a BIG issue for us locally. Another big issue with the national real estate market is prices continuing to climb. I just read that Freddie Mac is forecasting a 25% increase in property values in the next five years. Hard to believe.
My opinion is we need jobs to support our local market. Or we need to create news that we are, again, a great place to retire and an alternative to the low desert. Our communities cannot live on tourism alone.
Highlights of this Update include-
- As noted above, closed escrows were at 80. This time of year, we should be closer to 120-140.
- Inventory dropped to 841 at the end of the month. This tells us many sellers took their properties off the market. Some may shop for a better Realtor. If so, we should see them back on the market quickly.
- The average price of a sold home in Twentynine Palms rose to $271,259. This is the highest I have seen in my career.
- 76% of sold homes were below $400,000.
- The Multiple Listing Service (MLS) changed from Days on Market (DOM) to Average Days in the MLS (DAM). I am sure the acronym better reflects sellers’ moods. In May, Yucca Valley and Joshua Tree were in triple digits. Only Twentynine Palms was in double digits.
As always, there is a winning solution to sell or buy during difficult times. If you have a friend or family looking to buy or sell in our beautiful communities, please put them in contact with me.
Sincerely,
Bob Armstrong
(760) 221-2999
DRE #01275801
GREEN Real Estate Group
Bob Armstrong
