The Phoenix metro area's strong seller market from 2005 has gone to a complete reversal , going from boom to bust. Boom to bust price declines are hovering at about 54%.However, 2009 is promising to be a year of recovery with many positive signs in market.
Overall Months Supply is 4.9 a very small 3% increase from August. Note that the negative rate of change in median price slowed, then became positive in May and June, then shifted to negative in July (Historical Information). These types of price gyrations strongly suggest approaching overall price stabilization. At the same time, the average sales price has increased since May finishing in September at $175K. The shift to REO peaked at 67% of demand in January and now comprises 53% of demand. Short and Standard transactions now represent about 50% of market action. This trend is most likely fueled by the excess of REO demand over REO supply that forces multiple offers. The inventory level for REO is .85 (25 days) versus 4.5 for Shorts and 5.1 for Standards. While prices are higher in these segments, offer outcome is more predictable. Short Sales, however, still tries the patience of buyers and agents as signaled by extended time to sell.
The market is being driven by first-time buyer's which is another healthy sign instead of being investor driven. The first-time buyer stimulus plan of an $8,000 tax credit plus the record low interest rates have improved affordability and enticed buyers to "get off the fence" so to speak. It is also a great time for investors to come back into the market as long term investments will now cash flow for rentals with amortizing loans. Prices will still decline for properties above the conforming loan limits of $417,000, however, homes priced $200,000 and under are receiving multiple offers and in some cases selling for above list price.
Now is the time to take advantage of the great buyer opportunities while they are still there! The inventory is great, prices are amazing, and many sellers, including bank owned properties, are willing to provide closing cost assistance, plus the government is paying you $8,000 to buy a house!!
If you are interested in what your home is currently worth or would like information on purchasing, please contact me at 480-355-8645 or ginamckinley@remax.net for a Free Market Analysis or Buyer Information Packet. You may also view my Featured Properties at www.LocateArizonaHomes.com
ZIP Codes: 85233, 85234, 85295, 85296, 85297, 85298 Location Characteristics: The Town of Gilbert is a wonderful community with a small town feel. It offers many parks, a well known school district, and low crime rate. Gilbert just opened the New Mercy Hospital and will be getting a mall in 2007. With the opening of the San Tan Freeway in 2006, Gilbert now has good freeway access to the airport and the rest of the valley.
Myself, my husband Dan and our two children live in Ashley Park of Chandler. We have relocated around the country with corporate relocations before finally settling in Arizona over eleven years ago. My personal experience with buying and selling as well as my business education gives me a unique perspective in helping my clients with their needs. I am also active in my community, donating time to the local schools and my church. I also am a sponsor of Phoenix Rescue Mission.
I'm dedicated to selling homes in Arizona. I have over 12 years of experience and with awards such as "Multi-Million Dollar Producer," and the prestigious "RE/MAX 100% Club," you know I'm a dedicated professional working with you to achieve your home selling or purchase goals.
I'm a Certified Residential Specialist, Certifed Distressed Property Expert, and an Accredited Buyer Representative. My experience, additional levels of education, and certifications means there is no other agent more suited to help you buy your new home or sell your current one.
After all, our goal is to "Locate your Arizona Home"!
These reports reflect the views and opinions of their authors and are not necessarily the views and opinions of Realty Times.
