The Phoenix housing market, like a lot of other markets around the country, is experiencing a serious inventory shortage and increasing sales. Both of these are putting extreme strain on the housing market.
Buyers should have considerable downpayments and cash is better. Provide favorable terms to a seller to compete with others. Ask the listing agent in advance what terms and closing date are acceptable to a seller. Asking for a home warranty plan in a purchase offer is a negative to the seller, reducing their net proceeds. Work to provide the best offer to a seller to be competitive.
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Year over year, week 6, active listings have dropped by 58%! Active listings are down 76% since Week 6 of 2017!
How long would it take if all of the Active listings sold in Phoenix that are on the market sold? Twenty-one days!
With covid's new strain on the horizon and while we wait for the vacine, how many people are losing their homes to foreclosure. Not many!
In a city of 4.6 million people in the Phoenix area of Maricopa County, 34 homes were sold to a private party and 6 homes reverted to the "beneficiary", the lender, in January 2021. The housing market is so strong that buyers would welcome more homes to choose from if homeowners went into default and lost their homes to foreclosure.
Buyers have been busy buying homes even before they hit the MLS! It's not uncommon to review the day's list of new listings on day one and see them already in pending status.
Listings under contract are 6% higher than January, 2020! The year started out higher in listings under contract from January 1 forward.
The current Median Sales Price is $349,950; exceeding the year over year price of $295,000 the first of February 2020. The Median Sales Price has risen 16% year over year. The previous highest median sales price in Phoenix was $265,000 for June, 2006.
The unique capability of the Cromford Report to be able to provide Under Contract Price per square foot helps buyers to understand where prices are currently going, before sales close. Prices for homes under contract have risen 17% year over year.
Phoenix is experiencing unprecedented growth with a favorable economic climate as well. Check out this article from the Greater Phoenix Economic Council!
If you are relocating to the Phoenix area, select an experienced agent to help with the process!
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