I am happy to report that the upswing in the Phoenix area has nothing to do with golf and lots to do with the current the real estate market, which has experienced an upswing of late. This is not to say everything is rosy. But, recent figures are definitely on the upwswing, which means some figures are down.
* DataQuick Information reports that single-family home sales in the Phoenix area has increased 55.1%.
* The number of homes for sale has steadily decreased since November of 2008, with 13,297 homes on the market (the highest number of homes in the past two years). Currently, there are approximately 8,466 homes on the market,
* The months of standing inventory has steadily decreased from 19.7 months in January 2008 to a current inventory of 4.9 months.
* The number of homes sold has risen from 897 sold in November 2008 to 1,867 in March 2009, the highest number of sales in the past two years.
* Some neighborhoods have seen sale prices flattening and a few have even experienced an upswing in sales price.
* Arizona cities were some of the most searched areas on the internet in the first quarter of 2009, according to ZipRealty.com.
The recent activity seems to indicate Things Are Looking Better in the Valley of the Sun and the real estate market is on the upswing. The Phoenix area has not seen affordable pricing like this since 2001. The jump in sales volume shows that investors and buyers are seeing the Valley of the Sun as a “hot market” for their real estate dollars.
The new numbers seems to show that the Phoenix area may have already seen the worst of the market. Foreclosures due to sub-prime loans are on the decrease and the top of that wave has passed. I do not mean to say that we are out of the woods completely or a new boom is on the horizon. It will be a long road to the days of June 2006, when prices peaked.
The Phoenix Metropolitan Area is still among the top ten cities in regards to foreclosure proceedings. More foreclosures will be coming on the market in days ahead. Banks placed a moratorium on foreclosure proceedings last fall. In April, that moratorium was lifted so a new batch of foreclosures will be entering the market. However, there are some factors which I think will keep the inventory from reaching the sky high number seen in November 2008. I will address those factors in my next blog.
Larry Luenser, the smart choice for Phoenix real estate
[...] received a foreclosure notice. These new numbers may seem to be in contrast to my last blog, Phoenix Real Estate on the Upswing, so let me explain. Last week’s blog concerned the upswing in home sales, which still [...]