Phoenix Market Update – December 2018 – Week 2
Phoenix Real Estate Market Update
December 2018 – Week 2
Negative news about the real estate market is becoming a common occurrence. Continue reading for insight into the Phoenix Metro real estate market and why our local market is different.The real estate outlook for 2019 is not as grim as the national media might imply.
New Listings – 3268
- 6% lower than 2017 (3478)
- Second lowest since 2014
Closed Listings – 2949
- Slightly higher than 2017 (2937)
Accepted Offers – 3340
- 7% lower than 2017 (3607)
At 6% the drop in new listings is not as severe as for the first week of December which was down 11%. However, it indicates we still see subdued flows of new supply in December, well below the average over the past 18 years.
Closings are running at a good pace, but new contracts are now down 7%, having been down 4% after the first week. Buyer enthusiasm is low partly because of higher cost of ownership, but also because there is a shortage of attractive inventory for them to choose from.
- In 2018, home loan delinquencies are at an extremely low level while home equity is at a high level.
- Consequently, the fall in demand is merely causing sales rates to drop and allowing buyers a little more negotiation.
- Keep in mind that Phoenix is the second fastest growing city in the nation. Buckeye comes in third.
- Also, Phoenix Metro Area has not had astronomical home price increases like many coastal cities.
News from NAR - National Association of Realtors
Fewer People Receiving Unemployment Benefits; Nearly 4 Million Less Than the Previous Week
Nearly 21 million people received unemployment benefits in the week ending May 16; a decrease of 3.8 million from the previous week’s revised levels.
Pending Home Sales Slump 21.8% in April
April’s decline in pending sales could be the lowest point, as NAR’s chief economist expects the market to bounce back soon.
Forbearance Options for Homeowners
Due to the coronavirus pandemic, the job market and the economy have changed drastically. We are seeing record highs of filings for unemployment as well as many families are trying to figure out how to manage the financial wellness of their households.
April 2020 Existing Home Sales
Housing market activity in April 2020 fell 17.8% from March 2020. April's sales of existing homes dropped 17.2% from April 2019.