Earlier this week, I attended our John Hall & Associates 2009 kick-off, and Jim Sexton presented some very interesting real estate statistics that show our market is changing, again.
I’ve included the full slide show, and invite you to take a look.
Highlights for the Phoenix area resale market include:
- Seven straight months where number of home sales surpassed 2007.
- The number of 2008 homes sales surpassed 2007 by almost 10%.
- Results from the second half of 2008 showed significant improvement over the first half of the year.
- Sales increases are definitely being fueled by dramatic price decreases, especially in the second half of the year.
- Bank-owned properties are a significant portion (approximately 33%) of the homes sales.
- Bank-owned properties are priced much lower than owner sold homes, and are selling at a faster rate.
I’m in the process of looking into home sales individual cities around the valley, and will be sharing some of those highlights. The results have been surprising and may signal some significant opportunity for buyers who have been waiting on the sidelines, looking for the bottom.
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The Ever-changing Phoenix Real Estate Market – 7 straight months of better than 2007 home sales http://is.gd/fcVp
Dru,
The Phoenix market looks looks much like the Denver market. The seven county market (2.5 million people) saw total residential inventory drop below 20K (19,600) for the first time in recent years. Our average and median sold price is down, reflecting the reduction in real estate wealth due to foreclosures and credit market issues. Overall sales were down from 49,000 to 45,000 sales in 2008, down, but not out. I suspect some stock market wealth is transferring into Phoenix area real estate, hedging for the future and perhaps acquiring the retirement home.
Dru-
Great insights here – thanks for sharing the John Hall presentation. I seriously wonder if the Valley is become a patchwork of areas that may have hit bottom versus those that haven’t as the recovery isn’t going to be seen clearly across the board but spread from pockets of random activity.
Dave Lorti
David,
I like your idea of a patchwork. I see that even within zip codes. Quality building, community upkeep, and overall aesthetics, couple with the all important “location” are differentiators, in my mind.
Dru Bloomfield’s last blog post..Have we hit bottom in the Scottsdale Real Estate Market?