Phoenix Metro Area Market Update – July 2019
Inventory is the story for the greater Phoenix real estate market in July. Active listings were down 4.1% to 15,442. The median price continues to rise, up 4.1% to $279,000. The current average sales price per sq. ft. is $172.30, which is up 5.4% from last year.
Lack of inventory continues to squeeze buyers, especially below the $200,000 price point. And now buyers looking for something between $200,000 and $250,000 are having a difficult time too, as new listings in this price range were down a whopping 15.1%!
Fortunately, interest rates are still favorable, with 30-year loans at 3.75% with .5 points, down 0.78% from one year ago (Freddie Mac, 07/11/2019).
In their July 2019 report, Freddie Mac says:
“The recent stabilization in mortgage rates reflects modestly improving U.S. economic data and a more accommodative tone from the Federal Reserve to respond to the rising downside economic risk from trade tensions and soft global economic data. On the housing front, the latest weekly purchase application data suggests home-buyer demand continues to rise, which is consistent with the slowly improving real estate data from the last two months.” (Freddie Mac, 07/11/2019)
What does all this mean for today’s buyers and sellers?
Shrinking inventory, along with low interest rates, will continue to drive modest price increases. If you are thinking of buying, waiting on the sidelines may not be your best move. For sellers, you are selling into a significantly larger percentage of investors, especially flippers. These investors are looking for a deal, not a home. Get your home ready by freshening it up and pricing smart. 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! To view the Phoenix Metro Area Market Update for last month, click HERE.
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 Karen Berg at 602.919.2375 or April Anderson at 480.272.1977.
We’re looking forward to hearing from you soon!
–Karen Berg and April Anderson
United Brokers Group
21321 E Ocotillo Rd F113
Queen Creek, AZ 85142