The Phoenix real estate market ended the year on a good note. For Maricopa county, the Average Sales Price increased by 17.1% from 2012. The market is moving 10% slower than in 2012 which means homes are lasting on the market about 5 days longer on average. This slowdown is the result of having a larger inventory of available homes for sale with a lower number of active buyers in the marketplace. More sellers are looking to sell since home values have recovered 17.1% this year and less investors are interested in buying for similar reasons. Therefore the profile of buyers in the marketplace is getting closer to our usual breakdown of first time home buyers, move-up buyers, downsizers and investors.
With the number of homes for sale at 21,808, a gain of over 21% year over year, buyers are experiencing a huge buying opportunity. This time last year competition was still tight to have offers accepted, we were still commonly seeing multiple offers on most properties and due to the Seller's market, buyers were largely unable to negotiate the terms of the purchase. Now we have seen the market loosen. Historically the Phoenix Market's balanced market is a 4-6 months supply of homes. From the data above, you can see that overall we are sitting at 3.6 months supply. Very close to that balanced level. What this means for buyers is that we are now able to have more homes immediately available for sale, we are more likely to be able to negotiate for closing cost assistance, home warranties or slight reductions in the price.
The data for the real estate market in Pinal county largely mirrors the trends we saw in Maricopa. Pinal County has seen a 4.8 months supply, again fully in that balanced market. These homes are also sitting longer on the market because of the lack of investor activity, increased prices and increased inventory.
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See the original statistics report from ARMLS here
See the original statistics report from ARMLS here
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