The median sales price for homes in Phoenix AZ for Apr 12 to Jun 12 was $112,000. This represents an increase of 23.7%, or $21,432, compared to the prior quarter and an increase of 31.8% compared to the prior year. Sales prices have depreciated 52% over the last 5 years in Phoenix. The average listing price for Phoenix homes for sale on Trulia was $282,323 for the week ending Jul 04, which represents an increase of 0.4%, or $1,251, compared to the prior week and a decline of 0.1%, or $357, compared to the week ending Jun 13. Average price per square foot for Phoenix AZ was $200, an increase of 159.7% compared to the same period last year. Popular neighborhoods in Phoenix include Camelback East, Deer Valley, Paradise Valley, North Mountain, Maryvale, and Alhambra.
Two Rumors have been going around the Phoenix real estate market: 1.foreclosures are rising and 2. there is a “shadow inventory” of foreclosed homes the banks are sitting on.
Foreclosures are down big time in Phoenix and while we still get the occasional blip up here or there, the trend has been consistently down since the start of the year. Comparing the number of foreclosed homes for sale in January of 2012 to January of 2009 – the supply is down 92%. There will always be foreclosures, but the numbers are consistently dropping and the forecast is more of the same.
And then shadow inventory.. Shadow inventory is the homes that the banks have taken back and are sitting there vacant being held off the market in an effort to control pricing. The banks in Arizona do not have some stash of houses they are holding back. The thing about real estate is that changes of ownership cannot occur in secret – they require a public recordation to transfer ownership. So this persistent rumor is more attributable to errors in counting and tracking foreclosures than anything factual. What happens is that many houses are vacant due to homeowners vacating the premises prior to the bank actually foreclosing. I’ve walked the neighborhoods and door knocked the pending foreclosures and it is amazing how many houses are vacant.
The Phoenix market is hot and the opportunity to invest is still one of the best in history! This is a choice, and it’s not an easy one. The easy choice is to continue doing what you’re already doing. The hard choice is to beginning the process of changing your mindset—the process of choosing to be rich by investing in Arizona Real Estate. Call me. This starts with increasing your financial intelligence. Through these endeavors you will change your mindset.
From Facebook: “Comping a property this morning I found only one active and it had been on the market for six days. I contacted the listing agent on it to find out if they had received any offers yet to find out they have 15 offers and most are over list price! Nothing new for those who are in the market but just thought I’d throw it out there so everyone knows that no it is not cooling down yet!! Prices in the Phoenix metro area are up 32% since last August!! And one of the biggest metropolitan areas in the country there are less than 8000 homes on the market that are active and of those MANY have offers already on them just not accepted yet. % at 3.6 r u kidding me?!“