This is the time of year that the inventory in the Phoenix area real estate market traditionally starts to increase from lower levels in the summer months, and we are in fact seeing a rise in listing inventory. On September 19th, 2015, we had 20,000 active listings in the Arizona Regional Multiple Listing Service – we haven’t seen that high of a number since the end of June.
While inventory is still lower than at this time in 2014, we’re on a steady increase. Unless buyer demand increases, however, the extra inventory in some areas could cause the average days on the market to rise through the Thanksgiving holiday.
As compared to August of this year, we are seeing an increase in the Cromford Report Market Index for a few key cities. This index forecasts the short-term outlook on market balance, derived from recent trends in the levels of sold and pending listings, analyzed against historical data. Values below 100 indicate that we’re in a buyer’s market and values above 100 indicate a seller’s market.
Paradise Valley’s index has seen a 16% increase over the last month to 146.5, while Scottsdale’s index is up 4% to 132. This is good news for sellers in these two areas, making this a great time to consider selling your Paradise Valley or Scottsdale golf home, especially as winter residents start to return and retirees look for a place to settle.
Unlike Scottsdale and Paradise Valley, the towns of Cave Creek and Fountain Hills are seeing a deterioration in seller stronghold. While home sellers still have the advantage, their negotiating power is falling. In fact, Cave Creek is close to a balanced market between supply and demand, which could take away the advantage for sellers.
When you review 2015 as a whole, we are almost exactly where we were this time last year at about 84,000 total listings for the year to date. The amount of listings in 2014 and 2015 are up 2% from 2012.
As 2015 continues, it will be interesting to see if sellers are able to keep their edge as a result of increasing demand, or if the bargaining power shifts towards buyers.
If you are wondering about the current value of Arizona real estate, and whether it’s the right time to sell or buy in an Arizona golf course community, contact The Matheson Team. We are experts in Arizona golf homes and the Scottsdale real estate market.
Realtor | Founder
The Matheson Team – RE/MAX Fine Properties
21000 N. Pima Rd., #100, Scottsdale, AZ 85255
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