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Is It A Sellers Market? Is It A Buyers Market? Homes For Sale In Arizona

By The Valley Solutions Real Estate Team

Real Estate Agent with HomeSmart

August 25, 2010 08:25 AM

The dreaded question we get all the time………….is it a Buyers Market or is it a Sellers Market? Of course the buyers say it is a Buyers Market because the price of homes and interest rates are so low. The sellers say it is a Sellers Market because of the bidding wars that are currently going on. But what do the facts say about the Arizona Real Estate Market on these two very important questions?

Here are a few statistics regarding the inventory and the sales in the past few months compared to last year and/or last month and you can start forming the answer to the questions.

June 2010 showed 213 MORE homes sold than in May 2010 bringing the total to 9,280 units
June was the highest monthly sales total in the past 12 months and the second highest month since August 2005 when 10,031 sold
Since January 2010 monthly sales have exceeded previous years monthly totals in Five of the Sixmonths
June showed a 5% increase in new inventory over May, but June’s total is also the lowest for any June since 2004.

So what did you conclude about what kind of market we are in? Is it a sellers market or a buyers market?

Here’s the Answer:

Over the last 4 months the monthly supply of inventory has stayed in the narrow range of 4.77 and 4.51 months

What that means:

Normal convention holds that the months supply of inventory less than 5 months indicated a seller’s market while at 5-7 months is a balanced market and exceeding 7 months equates to a buyers market.

So the answer to the question is: IT’S BEEN A SELLERS MARKET SINCE MARCH 2010!

Notice to Buyers………………….If you are on the fence and not sure when the right time to buy is well you are looking at it. Better get in the game before it isn’t the same!

Mother/Daughter Team

“Horse Property Specialists”