Phoenix Metro Area Market Update – July 2020
Inventory, inventory, inventory! Where is our inventory?! Active listings in July’s Greater Phoenix real estate market stand at 8,788, down 43.2% year over year, and the median sales price is now $305,000, up 9.3% year over year. Historically low inventory has been the story for 2020.
While prices are up, interest rates hit another, all-time record low. Thirty-year money stands at just 3.03% with .8 points. (Freddie Mac, July 9, 2020)
What does all this mean for today’s buyers and sellers?
Many new buyers have entered the market, however, there has not been a corresponding increase in inventory. Homes under $300,000 are particularly hard to find, and this has produced a plethora of multiple offers in that price range. In speaking to one of our agents recently, she said that she has advised her buyers that if they see a home at 8:00 a.m., be prepared to offer immediately. Sometimes even that is not good enough. She said they have been outbid, or beaten to offer acceptance, over a dozen times in the past month. On the other hand, new listings over $500,000 spiked in July, up 20% year over year, so there is available inventory in that range. (Cromford Report, July 2020) Half of current contracts under $400,000 were on the market for less than 8 days prior to contract acceptance, and 28% of all sales in July so far have closed over asking price. These numbers suggest that successful buyers need to come prepared to immediately do business, as this is definitely a seller’s market.
Sellers, check out my blog, Your Pre-Home Listing Checklist, for more information on how you can earn top dollar for your home. However, if you are in doubt about how much of this to do to get “ready to sell,” feel free to give us a call — we do this assessment all the time.
As always, work with a knowledgeable REALTOR® that you trust. If you have any questions at all about current market trends, please feel free to give us a call!
We are full-time, experienced Realtors working in Queen Creek and the surrounding areas. With decades of East Valley real estate experience under our belts, we are here to answer any questions you may have. Please do not hesitate to reach out to April Anderson at 480.272.1977. We’re looking forward to hearing from you soon!
United Brokers Group 21321 E Ocotillo Rd E-111 Queen Creek, AZ 85142