MULTI-FAMILY REPORT
PALM SPRINGS, PALM DESERT,CATHEDRAL CITY, DESERT HOT SPRINGS, RANCHO MIRAGE, LA QUINTA, INDIO, COACHELLA VALLEY
October 2009
Income properties selling for income…not speculation.
Cap rate of 6 to 7 are the average range for valuation.*
Most properties have multiple offers within days of coming on the market.
Many properties are selling for all cash.
Interest rates still at all time lows.
There are 7 multi-family properties in “pending” and 7 multi-family properties in “contingent other” for the month of October. All of the pendings are Bank Owned REO properties, while the “contingent other” properties are all short sales.
Short Sales are becoming far more prevalent in the current sales market. Six months ago it was next to impossible to get a lender to even talk to you about a short sale on income property. Major shift in lender attitude in the last 90 days….which is a good thing for the market. I believe this change in attitude will preclude a huge wave of foreclosures that everyone was anticipating.
13 Closed Escrows in October
| City | Type | # of Properties | Total Sales |
|---|---|---|---|
| Cathedral City | REO | 4 | 5 |
| Regular Sale | 1 | ||
| Desert Hot Springs | REO | 4 | 5 |
| Short Sale | 1 | ||
| Palm Springs | REO | 2 | 3 |
| Short Sale | 1 | ||
| 1000 Palms | Short Sale | 1 | 1 |
* Cap rate is the net operating income divided by the value. Net income is all gross scheduled income minus all operating expenses but does not include your mortgage payment. Any questions….let me know.
Hi, I'm Jeannie. For over 25 years I've helped investors make money in markets both good and bad. 
