Sept. 2 Phoenix market info
HI, Check the video blog entry below for some Phoenix real estate market information.
Text follows. Have a great day and make it better for others too!
Adam Tarr PC
Citywide Real Estate Phoenix, AZ
480-236-7374
adam@WeAreAZRealEstate.com
HI, I’m Adam Tarr, associate broker with Citywide Real Estate in Phoenix , AZ. Today is Sept.2 and I will be providing an August recap in the next few days. But, today I want to talk about recent market trends and the media coverage of future expectations. We have all heard different thoughts about the market. Does the graph look like a U, a V, a W or an L. The most common seems to be the L, meaning that we have hit bottom and will be stuck there for a while before seeing any uptick. Recent numbers however might indicate that we are indeed on a W track. Sales prices throughout the Phoenix market month over month from July to August have decreased at a higher rate than expected. The average price per square foot dropped 5.3%, led by normal sales with a 9.7% drop. This was actually balanced by an increase in the ave $/ft in REO’s, going up 1.4%, with short sales down 3%. Of course there are many stats that can be quoted and you are more likely to hear about average pricing. What you will most likely hear is that average prices dropped. What typically isn’t told is the back story of all the numbers. While the average price dropped, so did the average size of the home. So, when you factor in the decrease in size, the drop in pricing isn’t as significant. That doesn’t mean it’s not important though. We have seen a decline of 6.3% in average sales $/SF over the last two months. Of this we calculate 4.7% is caused by a real fall in average home values and another 1.6% is caused by changes in the sales mix. Another number commonly used is median pricing and those numbers are down to levels we saw in the middle last year. We saw a steady increase in the last half of 2009 and fairly stable numbers through the first half of 2010 before the recent slide. On a slightly positive note, we will still see a decline but the pending sales #’s aren’t as low as the sold numbers so we may see the decrease lessening over the next couple of months. I mentioned that the full story never seems to be released, and it hasn’t been here either, but this will go too long. So, more tomorrow. Have a great day and help make it better for other people too!
Text follows. Have a great day and make it better for others too!
Adam Tarr PC
Citywide Real Estate Phoenix, AZ
480-236-7374
adam@WeAreAZRealEstate.com
HI, I’m Adam Tarr, associate broker with Citywide Real Estate in Phoenix , AZ. Today is Sept.2 and I will be providing an August recap in the next few days. But, today I want to talk about recent market trends and the media coverage of future expectations. We have all heard different thoughts about the market. Does the graph look like a U, a V, a W or an L. The most common seems to be the L, meaning that we have hit bottom and will be stuck there for a while before seeing any uptick. Recent numbers however might indicate that we are indeed on a W track. Sales prices throughout the Phoenix market month over month from July to August have decreased at a higher rate than expected. The average price per square foot dropped 5.3%, led by normal sales with a 9.7% drop. This was actually balanced by an increase in the ave $/ft in REO’s, going up 1.4%, with short sales down 3%. Of course there are many stats that can be quoted and you are more likely to hear about average pricing. What you will most likely hear is that average prices dropped. What typically isn’t told is the back story of all the numbers. While the average price dropped, so did the average size of the home. So, when you factor in the decrease in size, the drop in pricing isn’t as significant. That doesn’t mean it’s not important though. We have seen a decline of 6.3% in average sales $/SF over the last two months. Of this we calculate 4.7% is caused by a real fall in average home values and another 1.6% is caused by changes in the sales mix. Another number commonly used is median pricing and those numbers are down to levels we saw in the middle last year. We saw a steady increase in the last half of 2009 and fairly stable numbers through the first half of 2010 before the recent slide. On a slightly positive note, we will still see a decline but the pending sales #’s aren’t as low as the sold numbers so we may see the decrease lessening over the next couple of months. I mentioned that the full story never seems to be released, and it hasn’t been here either, but this will go too long. So, more tomorrow. Have a great day and help make it better for other people too!