Real Estate Update – Good News for the Phoenix Market 

Although the results of January’s stats show mix results, there is good news for the Phoenix market. Three out of four price metrics reported an increase – median list price up 6.4 percent, the average list price up 10 percent and the median sales price up 1.2 percent.

Pending foreclosures continue in a downward trend, starting with the highest number in November 2011 and down by 78 percent in January. Distressed properties (short sales) have also dropped by 33.8 percent.

There are other indications that the housing recovery in Phoenix will continue. In a recent study, using Moody’s Analytics, based on population and the economy, Phoenix was named the eighth fastest growing metro area. The Phoenix-Mesa-Glendale MSA showed a population growth, which increased from 1 percent in 2012 and has a projected growth of 2.7 percent for 2013.

Although the Phoenix market has struggled with low inventory, new homes are a potential solution. R.L. Brown reported 668 new single family permits in December, which contributed to 35.8 percent increase when compared to December 2012. Overall, there has been a 71 percent increase in new home permits over those numbers in 2011.

For certain, the road back to healthy economy is complex and without constant strides in a positive direction, the road could be long. To read more about the statistics for Maricopa County, please click here. To view the Market Watch report, please click here.

Staying abreast of market trends, data and important information, is a step in the right direction, whether you own a home, investments or plan to purchase in the near future. Be sure to read the recently published STAT Year in Review 2012 and the fourth quarter STAT Plus, for more perspective. Nate