Courtesy of Barb Savoy-Pacella, ABR, CHMS ~ CEO Keller WilliamsArizonaRealty
I am always fascinated by the Phoenixreal estate market. Supply has been falling dramatically, and we have been in a seller’s market for several months, and yet the level of distress is continuing to hold prices down, however, the number of foreclosures have decreased significantly, so the more quickly we can move through the short sale inventory, the better.
Typically, a balanced market is 5.5 months. According to the MLS data, the only market in the Phoenix metro area that is a buyer’s market is Paradise Valley, and even so, that’s not by much. Fountain Hills is teetering on a balanced market, and Scottsdale and Cave Creek have dropped their inventories into a seller’s market. Glendale continues to be on fire with a 1.9 month supply of inventory. Wow.
The chart below illustrates how much inventory each major city in the Phoenix Metro area has decreased, from the same time period last year. It’s interesting to observe that the Northeast Phoenix cities of Paradise Valley, Scottsdale, Fountain Hills and Cave Creek, which were the last to begin seeing signs of recovery, have had the most dramatic decreases in total inventory over the past twelve months.
|
City |
July 2010 |
July 2011 |
Difference |
|
Anthem |
4.5 |
2.5 |
2.0 |
|
Cave Creek |
7.7 |
3.3 |
4.4 |
|
Chandler |
5.2 |
2.4 |
2.8 |
|
Fountain Hills |
9.2 |
5.4 |
3.8 |
|
Gilbert |
4.5 |
2.5 |
2.0 |
|
Glendale |
4.2 |
1.9 |
2.3 |
|
Mesa |
4.8 |
2.8 |
2.0 |
|
ParadiseValley |
11.8 |
7.6 |
4.2 |
|
Peoria |
4.7 |
2.5 |
2.2 |
|
Phoenix |
5.0 |
2.4 |
2.6 |
|
Scottsdale |
7.4 |
4.3 |
3.1 |
|
Surprise |
4.0 |
2.7 |
1.3 |
|
Tempe |
5.0 |
2.2 |
2.8 |
Listings Pending Sales are still strong with a total of 12,181. That is a decrease of just 302 pending sales compared to last week, which is strong considering that we typically see a greater decline in pending inventory in the latter weeks of July. Listings that are active with contingencies account for an additional 7,731 properties.
Current Conditions in the Phoenix Market:
- There are 16,555 single family detached listings, currently active in MLS. That is a decrease of 116 listings from last week. This represents the twenty-fifth consecutive week of decrease.
- There are 20,792 total listings currently active in MLS, which includes condos, patio homes, townhomes, and lofts.
For additional information regarding the Phoenixhousing market, or to view homes for sale, visit our web site at www.PacellaGroup.com
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