One of the most common questions real estate agents are asked is, “How is the market?” My answer is always the same: Which market?
According to this week’s TRD data, pending home sales in the U.S. fell to their lowest level in more than a decade. The problem with relying on this data is that it reflects the entire U.S. market. How can you accurately compare the East Coast to the West Coast during the winter? Or the Coachella Valley to San Francisco?The truth is—you can’t. Every market is local, and broad national statistics rarely tell the full story.
The data also shows that cancellation rates reached their highest level last month, with Atlanta topping the chart. Transactions falling out of escrow are nothing new in a market with abundant inventory. After the initial excitement wears off, buyers often begin to second-guess their decisions. They look at other homes, compare options, dissect the details, and reassess their choice. This behavior is very normal and not alarming at all.As for why Atlanta is leading the chart—I honestly couldn’t tell you.
Let’s bring it home to where I am—Palm Springs and the surrounding areas. This is a very different market than any I’ve witnessed in my 34 years of practicing real estate, and that’s what makes it unique. Yes, it is affected by broader economic declines, and historically we tend to be among the last markets to recover.
That said, I’ve seen more transactions close in the last quarter of 2025 in the higher-end range ($2,000,000–$3,000,000) than at the first-time buyer price point. This simply highlights that high-end buyers are fundamentally different—from budget and qualifications to risk tolerance. First-time buyers, on the other hand, tend to be more cautious, more nervous, and deeply focused on affordability.
I hope this helps put everyone’s mind at ease. And as always, I’m here to offer information, ideas, and perspective to you, your friends, and your family whenever needed.