Palm Springs, CA Real Estate Market Report – August 2025

The Palm Springs real estate market is showing mixed signals this August, with slight price drops, slower sales, and shifting buyer activity. Whether you’re looking to buy a home in Palm Springs, sell your property, or invest in a rental, understanding these trends will help you make the smartest move in today’s market.

Current Palm Springs Market Snapshot – August 2025

• Active Listings: 912

• Pending Sales: 114

• Median List Price: $675,000

• Median Sale Price Change (Year-Over-Year): ↓ 3%

• Median Price Per Square Foot: Down $19 from last year

• Median Sale-to-List Price Ratio: Stable compared to last year

• Closed Sales: ↓ 21% from last year

• Median Days on Market: 28 days slower than last year

What This Means for Palm Springs Home Buyers

Buyers now have more inventory to choose from, with over 900 active listings on the market. Prices are down slightly—just 3% from last year—and price per square foot has dipped, meaning buyers may find better value in today’s market.

However, properties are taking longer to sell, which gives buyers more leverage during negotiations. If you’re purchasing in Palm Springs, especially in high-demand neighborhoods or golf communities, now may be an ideal time to secure a deal before the market shifts again.

Tip for buyers: Target homes that have been on the market for 30+ days—these sellers may be more willing to negotiate.

What This Means for Palm Springs Home Sellers

While prices are slightly lower, the real challenge for sellers is time on market—28 days slower compared to 2024. This means it’s critical to make your home stand out with competitive pricing, professional marketing, and maximum online exposure.

Key strategies for Palm Springs sellers:

• Price to attract attention in the first two weeks of listing.

• Highlight lifestyle appeal—Palm Springs’ resort feel, desert views, and entertainment options.

• Stage your home professionally to appeal to out-of-town buyers shopping online.

Palm Springs Real Estate Investment Outlook

Palm Springs remains one of the most attractive markets for vacation rental investors in Southern California, despite the slower sales pace. The dip in pricing may open the door for strategic purchases in prime short-term rental areas, offering potential for strong returns once tourism demand surges again.

Bottom Line – Palm Springs is Slowing, but Opportunities Remain

The Palm Springs housing market in August 2025 is moving at a slower pace, with prices softening and homes taking longer to sell. For buyers, this means more options and negotiating power. For sellers, it means positioning your property correctly from day one to stand out in a competitive market.

If you’re planning to buy or sell in Palm Springs, working with a local market expert will ensure you take advantage of the current conditions.

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