I’ve heard rumblings from a couple Realtors in the past few weeks about the local real estate market softening just a bit. Having just listed and sold a new Scottsdale home listing in eight days, I wasn’t convinced, so I reviewed the most recent data for Scottsdale real estate.
Looking at home sales, it’s easy to see that homes sales in Scottsdale have definitely been up this year, and holding even stronger during the hot summer months. However, in the past couple of weeks, it appears that there’s been a bit of a decrease.
Next, look at Scottsdale home prices, measured on a sales price per square foot basis. Prices are up over last year, and they held fairly steady over the summer. A small dip was seen during June and July, with an increase in August. However, this was not a new high point, just approaching the high price point seen for Scottsdale in May.
So far all looks well and good.
However, the number of houses under contract has been dropping steadily and significantly, since June. While Scottsdale home sales have been high, there’s a definite indication that this will change over the next several months.
And to put this all in perspective, the next chart shows how Scottsdale home inventory (i.e. the number of homes for sale) is definitely on the rise, and in the past two weeks has jumped higher than the same last year. So while Scottsdale home buyers have been scratching and clawing to buy homes in a Seller’s Market, it appears that they will have more choice in the coming fall months as the market balances out.
Back to the original question: Is the Scottsdale real estate market softening?
It’s safe to say that homes prices are holding steady, and that there will be more opportunity to for buyers to successfully find and buy a home, while sellers are going to need to be more realistic about setting home prices that are based on today’s market, not anticipated appreciation.
If you have any questions about the Scottsdale real estate market, just ask.
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