February Market Report

February Market Report

Let’s look at Maricopa county first, and then compare with the Verdes and Fountain Hills.  What is going on?
According to the Cromford Report, Phoenix is leading the country in percent increase in the number of sales in Q4 over Q3 2019 with a +0.59 uptick.  Seattle is number two.  Comparing using a full year, Phoenix is number one with 6.5% increase in sales and TEMPE is third in the nation with 5.3%.

So how is inventory doing?  It continues to be tight so we see rising prices in this seller’s market.  Inventory is extremely tight in the properties priced under $350,000 and to sell a nice little place for $250,000 is easy as pie.  If you are a buyer in that price point be ready to look hard and move fast.  This price point scarcity has hurt the iBuyers such as OpenDoor and OfferPad who specialize in those homes.

What we have seen in the Verdes however is slightly different in some ways.  We have seen an uptick in inventory this February, still below what we are used to this time of year.  We have also seen the healthiest sector of the market are the properties under $400,000 with an increase in median price over the last 12 months.  What really caught our eye was that in the last three months only 6 properties in the Verdes priced over $500,000 have sold. This can be a reflection of these properties viewed and went under contract in the slower holiday season.  There are an additional six under contract so we should see a rebound in the median sale price. 

Personal experience with our potential buyers is high interest but caution to move forward.  It has always been true in our 55+ community that people move here to retire not take on a new job, and the urgency to find a home is not a driver in our market.  Our numbers will only lightly shadow Maricopa county.  Low interest rates, high confidence in the economy, lenders now eager to lend and the specter of higher prices to come should move folks to buy. 

RobinW

Verdes Lifestyle Team HomeSmart Lifestyles 12645 N Saguaro Blvd. #5 Fountain Hills, AZ 85268

Leave a Reply

This site uses Akismet to reduce spam. Learn how your comment data is processed.