Desert Ridge Market Report 7/08
Hi,
Statistics for sales in the Desert Ridge area for July of 2008 provide a mixed bag of information. Like the rest of the valley, prices have dropped significantly year over year, but as most media outlets don't point out, we are looking at today's numbers, vs peak numbers from the run up in 2004-2005. Althought the market was slow throughout all of 2007, significant decreases in prices started to take hold mid year last year.
July of 2008 saw the Desert Ridge community, including Aviano, Toscana, Bella Monte and Fireside (technically, can't really consider Fireside much, as there are new construction closings, and no re-sales) with 21 closings on MLS compared with 15 the previous month, and 16 in July 2007. The average price per square foot in July was down 19% from the same month in 2007 at $193.09. I use price per foot as the measure for this report, as each month can carry different size homes which can skew prices when larger homes are sold. The good news is that sales units were up and based on current inventory, we are at an inventory level of 8.29 months. Last month the average days on market for sold homes was 129, which is almost double from the same period the year before. A five month supply of inventory is considered "healthy", so we are still in a buyers market.
We all know that there is still some time to go before the market will return to some sense of normalcy. This area, while it does have some foreclosures, has not seen the larger percentages that some of the outlying growth area has. The general population's concern about the overall economy will continue to have an unsettling effect on housing. Although interest rates have increased slightly over the last couple months, they are still quite low in historic terms. People who need to buy and know that they are looking at their home as a home, not a quick investment, are still in a good position. The overall accessibility, amenities and growth for the Desert Ridge area should provide the positive outlook for real estate in Desert Ridge.
Adam Tarr
RE/MAX Excalibur
Scottsdale, AZ
info@WeAreAZRealEstate.com
480-483-3333
www.WeAreAZRealEstate.com