Desert Notes
Selling Below What They Paid: A High Desert Opportunity for Buyers, Even at 7% Rates
Furnished homes priced under what the last owner paid, and what that does to the monthly payment
Mortgage rates have climbed to 7.28%, and fewer buyers are competing: San Bernardino County closed sales fell 9.3% from a year earlier in August. For buyers who can put money down, that has created an unusual opportunity in the High Desert. Some sellers are now selling for less than they paid, and some of those homes come furnished. Today, two active DezResto listings fit both descriptions: 61826 Terrace Dr in Joshua Tree, listed $105,000 (22%) below its 2021 sale price, and 83683 Amboy Rd in Twentynine Palms, listed $55,000 (11%) below its 2021 sale price.
Published October 4, 2026. Prices and sale histories are from public listing and public-record data as of that date, and can be incomplete, so verify before you rely on them. This is general information, not financial or legal advice. Both homes are listed with Joshua Tree Modern, the brokerage Stephen is affiliated with.
Why sellers are in this position
Three things are squeezing sellers at the same time:
- Higher rates. Freddie Mac's weekly survey put the average 30-year fixed rate at 7.28% on October 1, up from 6.34% a year earlier and 6.65% on August 20.
- Fewer closings and more supply. In August, the California Association of Realtors (C.A.R.) reported San Bernardino County closed sales down 9.3% from a year earlier, a median of 35.5 days to sell (versus 28 statewide), and an Unsold Inventory Index of 5.4 months, well above the statewide 3.7.
- Softer local pricing. Zillow's data for Twentynine Palms through July showed a typical home value of about $252,000, down 1.7% from a year earlier, with roughly 51.5% of sales closing under the list price and about 30% over. Movoto's September snapshot put Joshua Tree's median list price near $435,000, about 3% lower than a year earlier.
Add to that the short-term rental correction we covered in The Joshua Tree Airbnb Correction. Both homes below were bought in 2021, and both have been run as short-term rentals. Owners who bought in 2021 and 2022, and who now face higher carrying costs and softer rental income, may be among the sellers most willing to price under what they paid.
Two furnished homes listed below the last sale price
We reviewed every active listing on DezResto for furnishing language. Seven mention that they are furnished or turnkey. Checking public sale records for those seven, five were listed at or above their last sale price, and two were below it:
| Property | List price | Last sold | Below last sale | Furnished? |
|---|---|---|---|---|
| 61826 Terrace Dr, Joshua Tree 2 bed, 1 bath, 995 sq ft | $365,000 | $470,000 (July 2021) | $105,000 (22%) | Fully furnished and turnkey, per the listing |
| 83683 Amboy Rd, Twentynine Palms 2 bed, 1 bath, 1,080 sq ft on 5 acres | $445,000 | $500,000 (December 2021) | $55,000 (11%) | Sold fully furnished, per the listing |
61826 Terrace Dr, Joshua Tree
This midcentury remodel last sold for $470,000 in July 2021, according to public records. Listing histories on Compass, Homes.com, Movoto and Redfin show it asking $599,000 in May 2022, $514,000 in May 2023 and $480,000 in December 2023. It came off the market in August 2024, returned at $449,000 in March 2025, and was cut to $399,000 by April 2025. It is now $365,000, about 39% below the 2022 asking price. The listing describes a noted former Airbnb with a minimalist remodel updated to a midcentury modern look, national park views from the family room and sunroom, and a fenced yard with a clawfoot tub, fire pit and hammock circle, offered fully furnished.
83683 Amboy Rd, Twentynine Palms
This Wonder Valley home sold for $500,000 on December 2, 2021, as a fully remodeled house, according to Redfin and the MLS record. It is now $445,000. The listing describes a 2-bedroom, 1-bath home on 5 acres with a new roof, a new septic system, a tankless water heater and ductless heating and cooling, within walking distance of The Palms roadhouse on Amboy Road. It is used part-time as an Airbnb and getaway, and it is sold fully furnished.
The other five furnished listings were at or above their last sale price, so they are not on this list. Prices change as sellers adjust, so this is a snapshot of October 4, 2026.
What the lower price does to the payment
At 7.28%, principal and interest on a 30-year fixed loan is about $684 a month for every $100,000 borrowed. A year ago, at 6.34%, it was about $622. That is roughly 10% more for the same loan. Put another way, a price about 9% lower brings the payment back to where the same buyer would have been a year ago. Both homes are priced more than 9% below their last sale price:
| Home | List price | 20% down | Monthly P&I at 7.28% | P&I at the last sale price | Difference |
|---|---|---|---|---|---|
| 61826 Terrace Dr | $365,000 | $73,000 | $1,998 | $2,573 | $575 less per month |
| 83683 Amboy Rd | $445,000 | $89,000 | $2,436 | $2,737 | $301 less per month |
These are our own calculations for a 30-year fixed loan with 20% down. They cover principal and interest only, and leave out property taxes, insurance, mortgage insurance and any HOA dues, so your actual payment will be higher. Your rate depends on your credit, down payment and lender, and Freddie Mac's figure is a national average.
Why furnished matters
- Lower start-up cost. A furnished home spares you the time and expense of buying furniture, linens and decor, which is real money for a second home or rental.
- Ready to use. A turnkey home can be lived in or hosted from soon after closing, subject to any local rules for rentals.
- But verify it. Get a written inventory of what conveys, check its condition, and ask your agent and lender how furnishings should be handled in the contract. Rental furniture can show wear, and the sale is normally "as is."
How a buyer might approach it
- Shop lenders. With rates above 7%, a small difference in the quoted rate changes the payment. Compare several offers.
- Ask about concessions. In a slower market, some sellers consider credits toward closing costs or a rate buydown. There is no guarantee, but it is worth asking.
- Check the rental claims. If a listing mentions rental income, treat it as the seller's claim. Verify permits, county rules, taxes and insurance yourself.
- Inspect the big items. Roofs, septic systems, wells and heating and cooling are expensive in the High Desert. Where a listing says something is new, ask for the paperwork.
- Compare against recent sales. A price below the last sale is a data point, not proof of value. Ask for recent comparable sales nearby.
For help touring homes, see how qualified buyers can stay two free nights at Luna Mesa Base Camp, and read our August 2026 buyer's guide for median prices and payments by town.
What could go wrong
A price below the last sale does not mean a price below market value, because the previous owner may have paid too much. Rates could rise further, prices could soften more, and short-term rental rules or income could change. Listing and sale histories on public sites can be incomplete or contain errors. Anyone buying should rely on their own inspections, a lender's quote and professional advice.
Frequently asked questions
Is a home listed below its last sale price a bargain?
Not automatically. The last sale price shows what the previous owner paid, not what the home is worth today. Compare recent nearby sales, the home's condition and what is included before deciding whether the price is a good one for you.
Does a furnished listing mean the furniture is included in the sale?
Only what the purchase contract says is included. Ask for a written inventory of the furnishings and discuss with your agent and lender how they should be documented, because furniture is usually listed separately from the real estate.
How much does a 7% mortgage rate add to the payment?
At 7.28%, principal and interest on a 30-year fixed loan is about $684 a month per $100,000 borrowed, compared with about $622 at 6.34% a year ago. That is roughly 10% more, so a price about 9% lower brings the payment back to where it would have been a year ago.
Could I refinance if rates fall later?
Possibly, but nobody can promise it. Rates may fall, stay the same or rise, and refinancing has costs and requirements. It is safest to choose a purchase price and payment you are comfortable with at today's rate.
Want to see these homes or search for others like them? Browse the current Joshua Tree real estate listings, or contact Stephen Samojeden at 310-227-4805 or Samo71@gmail.com. His guide to buying a home in Joshua Tree walks through the process.
Sources
- Freddie Mac, “Mortgage Rates Average 7.28%” (October 1, 2026) and Primary Mortgage Market Survey.
- California Association of Realtors, August 2026 home sales report (September 16, 2026).
- Zillow, Twentynine Palms, CA housing market (data through July 31, 2026) and Movoto, Joshua Tree, CA housing market (September 2026).
- Sale and price histories: Compass, Homes.com and Redfin for 61826 Terrace Dr; Redfin for 83683 Amboy Rd.
- Listing details: DezResto's pages for 61826 Terrace Dr and 83683 Amboy Rd, based on the Joshua Tree Modern listings.