Phoenix/Scottsdale Real Estate Market Update – January 2019
Is Phoenix/Scottsdale transitioning to a Buyer’s Market?
We have become accustomed to a hot, growing market that strongly favors sellers. Now that it is cooler, contracting in volume and moderately favoring buyers, there is some talk that we are entering a Buyer’s market. But this perspective is not agreed upon by all because a decline in demand does not necessarily constitute a Buyer’s market.
A Buyer’s market is indicated by supply that is higher than demand and decreasing closed sales prices. In Phoenix and Scottsdale, the supply is still very low, and there is little indication that the supply will increase.
Most indicators that impact the housing market are in normal to good ranges. Compared with California and other west coast metro areas, Phoenix/Scottsdale is still very affordable. There has been no decrease in loan approval rates and population growth is increasing faster than the number of homes. Owning a home still makes better financial sense than renting (unless you expect to own the home for less than 3 years). None of the conditions for closed prices to fall are currently in effect.
The numbers are more reliable than emotion, and the numbers indicate more of a cooling down rather than a downturn – perhaps a return to a balanced market.
*Every Tuesday, we participate in a conference call with our broker and fellow colleagues to discuss the local real estate market, the current real estate news and the latest statistics. Our market update is based on this group discussion and information provided by The Cromford Report, a company dedicated to local real estate market statistics.
News from NAR - National Association of Realtors
Locations Close to Public Transit Boost Residential, Commercial Real Estate Values
on October 14, 2019 at 2:03 pm
A new report highlights the critical role public transportation plays in determining real estate values.
The Real Estate Mantra: Locate Near Public Transportation
on October 14, 2019 at 2:00 pm
This study compares residential and commercial property sales near fixed-guideway stations with those in areas without public transit access.
Top Vacation Home Counties
on October 10, 2019 at 4:59 pm
NAR has identified vacation home counties, the least expensive and most expensive areas, and the income profile of buyers who can afford to purchase a vacation home.
Top 5 Vacation Home Destinations
on October 10, 2019 at 2:04 pm
Top vacation home counties are those where the vacant housing for seasonal, recreational, or occasional use made up 20% or more of the county’s total housing stock.