Incredibly consistent. That is one way to describe the real estate market in Phoenix. Housing inventory for the greater Phoenix area continues to hover at some of the lowest levels ever seen. Currently, there is less than one month’s worth of homes for sale. To put this in perspective, 2 to 3 months’ worth of homes for sale would be the norm.
The median sales price is $339,000, up 16.9% year over year, and active listings are 4,683, down 60.6% year over year. Interest rates continue their favorable run with 30–year loans at 2.73% with .7 points, down .74% year over year. More importantly, the Federal Reserve suggests rates will remain in the same range for quite a while. (Freddie Mac, February 11, 2021)
Buyers, it is rough out there! Highly competitive and moving at a frenetic pace, the best advice is know what you want and come prepared to make an offer. Also come prepared for competition as multiple offers are the norm, and homes can go very quickly, often in a day!
Sellers, be prepared for the buyer frenzy. Get your home ready for showings but be prepared for a quick sale. This means know where you will be moving and line up your future home well ahead of listing.
This year is shaping up to be a good year for real estate in Phoenix with sellers still very much in the driver’s seat.
As always, if you are buying or selling, please work with a trusted real estate agent and loan officer. They can help you make the best real estate decision.