Indian Ridge CC 2010 1st Quarter Report
Dear Indian Ridge Resident:
The first quarter of 2010 showed some definite signs of improvement for the real estate market . The percentage of homes sold over $1 million rose from 2.9% in 2009 to 4.0% in the Coachella Valley. Sales of homes over $500,000 rose from 12.2% to 13.6% during the same time period. This would indicate the market may be shifting away from the ‘buyer's market'. However, sellers who need to sell will continue reducing prices until their homes do sell keeping the prices of other homes down until the economic factors improve.
In Indian Ridge twice as many homes sold during the first 3 months of 2010 as did the previous year. While prices have come down for homes actively listed for sale, the actual average sold price has not changed that much. What has taken place is that more sellers have reduced their asking prices so buyers now consider them ‘good buys' and the result has been increased sales. Even more important is the reduction of days on market for our community. A year ago when I decided to research reasons why buyers were selecting other communities, the first obvious issue was price. Once the price of some of our homes in Indian Ridge came down to the competitive level, we began seeing showings and sales activity. As we saw more activity, we began to have more sales and with those sales we then had actual comparables to help determine the true market value for our properties and appraisers had more substantial proof to support their numbers. All these are positive signs for the real estate market and our community.
The Yearly Annual Sales Report (included with this mailing) for all the competing country clubs shows the number of sales per golf community and the average sales price and price per square foot. While these numbers are averages and not always reflective of location or upgrades, it provides a point of reference on why certain clubs had more or fewer sales. It is important to know the number of homes in each development to be able to evaluate how each is doing percentage wise. PGA West has approximately 5000 homes so we would expect their total sales to be higher. Morningside and Desert Horizons would be lower with an 18 hole golf course and fewer homes. It is interesting to note that Morningside, a club who has had its ups and downs, has high HOA fees and recently assessed its members to cover expenses, retains fairly high values for their homes.
Review of the Price Range of Homes sold and percent difference year to year shows Indian Ridge is seeing less decline which could indicate we are leveling out and buyers and sellers may be more in line with the pricing of the properties. Mission Hills, Indian Wells, and Desert Horizons show greater decline in the high end of their market. So unlike Morningside, is something happening in these communities that is affecting the value of their more expensive homes? It clearly shows all country clubs are making efforts through various programs, offerings and changes to remain competitive in a difficult market.
The club environment continues to change throughout the country as economic factors affect the lifestyle of many and Indian Ridge and its residents are not protected from these changes. When working with buyers or people visiting the desert and they ask about certain country clubs, the intonation of their response or what they say speaks loud and clear about each club, its exclusivity, desirability and status within the community. Country clubs are reaching a point where they need to remain competitive with a long range plan to protect the desirability and exclusivity of the community, that ultimately protects home values. Indian Ridge is thought of as a prestigious country club that is desired by many and envied by those who wish they could purchase a home here.
The Party at the Ridge was a very exciting weekend packed full of wonderful events that could be experienced by members and their friends who were considering coming to Indian Ridge. The success of the event lies in that the people continue to talk about the club and community in a positive manner and with pride. This too helps protect home values.
The desert remains a small community where people from all walks of life and areas come to enjoy a beautiful lifestyle. Home values are either protected or negatively impacted as people continue to talk about the desert, where they would like to live and what communities they encourage their friends to consider. Our home values can be affected by what is said-both the positive and negative comments carry a message that reaches far beyond our community and the desert.
There is much being discussed about the future of the club and everyone has an opinion of what should be done. If Indian Ridge becomes a less private country club we will lose members to clubs that continue to protect their exclusivity. If we remain more private, which costs more for all residents and members, those who live in Indian Ridge will change over time as our mobility, age and financial situations change. In review of the country clubs in the desert, home values are more protected in those communities where the overall reputation of the club remains one where people want to belong because of all it has to offer and the distinction it carries.
Thank you for all your continual referrals and confidence in my team. In the past 14 months, we have been part of 46% of all sales in Indian Ridge. For the first quarter of this year, we have represented either buyer or seller in 50% of all the sales. We continue to balance our marketing program through both print, web and direct mail marketing. The results are evidenced in the success of the program. This has been one of our busiest seasons ever and the 4 of us on my team are working long hours to handle the escrows and manage the properties we have listed. Our new website up and running since September attracts on average 90+ new visitors a day with over 80% saving me to their favorites and many commenting it is the easiest and best website they have seen.
Please feel free to contact me if you have any questions or concerns or just to talk about what is happening in the real estate market locally and throughout the Coachella Valley. My knowledge base of all country clubs in the desert gives me the opportunity to help find just the right club and home for those wanting to make this valley their home.
Please see both sides of the pages attached as in the interest of saving paper, we sent out double sided. If you have any questions about the information, please call.
Associate Broker/Executive Premier Director
Windermere Real Estate
Information is compiled by Diane Williams using multiple resources including the NAR, CAR, Desert Sun, Wall Street Journal, John Seymour's "What's Hot What's Not", and the Multiple Listing Service. If your home is currently listed with another Broker, please disregard. It is not our intention to solicit other Broker's listings.