The lack of inventory in the Phoenix Area continues to produce multiple offers over list price. As you can see from the chart below, active listings are down 41% year over year. Some are delaying listing their home for sale unitl COVID 19 dissipates.
Historically, if someone purchased a home at the top of the market in 2005 or 2006 and spent over $750,000, they are likely still somewhat upside down from their original purchase price and especially if the home has been improved.
One would think that sellers may have cancelled their listings and staying put during this pandemic. Maybe some are, but not in large numbers. The number of cancelled listings are lower than a year ago by 23%!
And how long does it take to sell a house on average in Maricopa County? Fifty-two days is the average time it takes to sell a home in the Phoenix Metro Area. That's quicker than any time in the last 5 years, except for April and May of 2020. During July and August we typically see sales start to slow as summer months mean summer vacations for a lot of residents who have summer cabins in northern Arizona or in other vacation spots. With COVID extremes that may still be true as RV parks fill up and RV sales are up significantly in Arizona!
Prices continue an upward trend as mortgage interest rates are still low. The median sales price has increased 10% year over year and is higher than any other time in history, surpassing the high price of $265,000 in June, 2006.
The sheer volume of sales is expected to surpass last year, which beat the record number of sales in the residential market for 2005. Phoenix is receiving many new residents to retire, relocate, and attend our universities. And the Greater Phoenix Economic Council has worked very hard to lure companies to the Valley of the Sun.
The Phoenix Housing Market is one of the hottest housing markets in the country.
If you're considering a move to the Phoenix Metro Area, make sure you reach out to a professional realtor who can guide you in the process; one who knows relocationg first hand; and can answer every question about this city!
If you're considering selling your home in the Phoenix Metro Area, now is a great time. Interest rates are still low, buyers out number sellers, and prices are on the rise!
As a seasoned professional in the Phoenix area, staying on top of the housing market gives me an edge in negotiating with the best terms to win your offer. Call me!
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