July 2025 Market Summary and Outlook

Coachella Valley Real Estate Market Outlook – July 2025

As we move deeper into the summer season, the Coachella Valley real estate market continues its slow but steady recalibration. July brings more of what we started seeing in June: increased inventory, longer days on market, and cautious optimism from buyers who are watching both interest rates and home prices with renewed scrutiny.

Here's your July market update: what’s shifting, what’s holding, and what to watch as the desert heat climbs.

Market Overview

Inventory Keeps Climbing
Active listings across the valley are up again this month, especially in entry-level and mid-tier price points. While we’re not in oversupply territory, we are firmly out of the drought conditions that defined the post-pandemic years. This is giving buyers real choice and leverage, while giving sellers real competition. We are also seeing some sellers take their properties off the market completely, hoping for a quick trend reversal or even considering leasing as an option. Unfortunately for them, the current trends aren't showing any signs of seller-favorable change; the rental market is softening rapidly as well.

Pricing Is Flattening
List prices have softened slightly in most cities, while a few are holding steady. The broader takeaway? Sellers are no longer in the driver’s seat. Price reductions are becoming more frequent with the "NEED to sell" crowd, and overzealous pricing from the "WANT to sell" crowd is being met with silence or extended time on market.

Buyers Are Pickier
With more options comes more selectiveness. Homes that aren’t move-in ready or that miss the mark on pricing are getting passed over quickly. Buyers are looking for value, whether that means updated interiors, quality location, or outdoor amenities like pools and shade structures that can handle the desert heat.

Aggressive Offers and Credit Requests Are on the Rise
We're seeing a noticeable increase in buyers submitting aggressive offers, often well below the asking price, accompanied by requests for substantial seller credits or concessions. This includes everything from rate buydowns and repair credits to full or partial closing cost coverage. While not every offer is unrealistic, many buyers are testing the limits of seller motivation. Sellers need to be prepared for negotiation and understand where they’re willing to compromise in order to get to the finish line.

City-by-City Highlights

La Quinta
Inventory remains healthy, with more price-sensitive movement in the mid-range. However, demand is holding for well-maintained homes, particularly in guard-gated communities and golf course neighborhoods. We’re also seeing a small uptick in out-of-area buyers looking to relocate full-time.

Palm Springs
The cool-down continues. This month, price reductions have become the norm rather than the exception. Homes that lean heavily into midcentury modern flair are still in demand, but only when they're priced realistically. Sellers who want top dollar must be willing to stage, prep, price strategically, and market professionally.

Indio
Indio is showing continued signs of balance. Homes with short-term rental potential are attracting mild investor attention again, especially with local tourism rebounding. That said, investors are doing their homework. Cash flow projections and operating costs are under the microscope. If it doesn't pencil out, they're not buying.

Coachella
Steady as she goes. New construction and newer resale homes are moving, especially those offering 4+ bedrooms and generous outdoor space. First-time buyers and multigenerational households remain the primary drivers here.

Palm Desert
Steady and reliable. Palm Desert’s core continues to attract both snowbirds and locals, with solid movement in 2-bedroom condos and updated homes near El Paseo. The luxury market is slower this month, but homes with standout features like panoramic views, owned solar, or modern updates are still getting strong attention.

Indian Wells
Inventory remains limited, but what’s available is high quality and holding value. Buyers here are deliberate, often moving from second-home interest into full-time residency. The seasonal lull is typical for this time of year, but demand for well-located, move-in-ready homes remains stable.

What This Means for You

If You’re Buying
This is the most favorable market buyers have seen in years. More options, less urgency, and time to think before writing an offer. Just remember: quality properties still sell. Coming in low just to test the waters? That strategy’s wearing thin with sellers. Work with an agent who understands how to read the room and position your offer strategically.

If You’re Selling
Preparation is everything. From professional photos to pre-listing repairs and dialed-in pricing, sellers who invest up front are still seeing solid results. But those who list “as-is” without adjusting for market expectations? They’re getting passed over. Work with a team that knows how to position your property to stand out.

Looking Ahead

Expect continued balance through August. Inventory will likely plateau before Labor Day, and prices across most submarkets will stay flat or dip slightly. Interest rates remain a wild card. If they drop, buyer activity could pick back up quickly. If they hold or rise, we’ll stay on this current trend right through normalization and into a market where listings sit and buyer hesitation grows.

Whether you're planning a move or just watching the market evolve, it pays to work with a team that’s paying attention. At The Revery Group, we track these shifts closely to help you make smart, confident decisions; no guesswork, no fluff, just facts and strategy.