Here's what has come down the road in my little area of the world (Phoenix Arizona Metro Area):

• Buyers are coming to Arizona. We're dealing with more buyers from Canada and the north eastern United States. These are mostly investment buyers who are concentrating on homes that can be purchased and then rented with positive cash flow.
  

• Buyers are taking advantage of the Sub $200k market. Here's a great article.

• Some zip codes are noticing price increases and faster resales. These areas include isolated neighborhoods in $200k+ Scottsdale, Tempe and Northeast Mesa.

• Some new home builders are banking on the sub $100k single family home market that can now be found in areas such as Florence Arizona.

• For the first time in a few months, some builders are initiating price increases while most are holding steady on price.

Conclusion: The market is improving for some home sellers while it's still a buyer's market.