Arizona Real Estate Market Update, Feb 2014
The market stability and balance which prevailed between the end of November and mid January seems to be coming to an end. Both demand and supply are now rising, as is normal for the time of year. However it is the rise in supply that is having the stronger effect which is bad news for sellers. If current trends stay in place then we expect no significant sales price rises during the first half of 2014. New listings have been arriving at a rate which is about 9% higher than last year, so if demand remains below par we can probably expect to get back to a “normal” level of supply around 32,000 listings (including UCB) during the second half of this year. With supply normal and demand some 20% below normal we are heading towards a classic buyer’s market. This means increasing concessions from sellers and erosion of their pricing power. Thinking of buying or selling and want more information about the current market and how it impacts your specific situation, contact me today.