As we dive head first into quarter two of 2016, it’s a good time to take a look at quarter one and see where Arizona golf homes and the Arizona real estate market stand.
According to trusted source the Cromford Report, 1,538 new homes were added to the ARMLS during 2016’s first quarter. That is 26% more homes listed this year than in 2015’s first quarter. When you take these stats and compare them to the number of distressed sales in March, we see that all cities in the Phoenix metropolitan area had less than 10% of transactions in a distressed state. Both of these numbers are strong signs of recovery and the Arizona real estate market moving forward.
However, the supply versus demand issue we’ve been talking about seems to be growing. Looking at this table of active single family home listings as of April 1, we can see that more affordable homes in the $100k to $200k range have dropped as compared to last year. The current average homes sales price is $230,000, just below December’s seven-year high of $234,850.
This means there is less inventory available and home owners are looking to either increase their budgets to have more options, or look into multi-family housing like condominiums or townhomes. Buyers in the $250k to $300k range have a few more options that last year, and this is a great time for buyers in the $400k+ range. In fact, the inventory from $400k to over $1.5 million has not been this strong since 2009, which means it’s an excellent time to shop for Scottsdale golf homes and buy in the luxury market!
When we look at Arizona real estate listings under contract now as compared to a year ago, rather than only homes listed for sale in the ARMLS, the trend continues. There is about a 50% decrease in home contracts in the $100k to $150k range. But then the good news: we’ve seen a roughly 20% increase in contracts for homes $225k to $600k.
So, quarter one in 2016 is off to a good start and shows strong signs of positive economic news for the rest of the year. It’s a great time to sell your Arizona golf home if you’re under the $200k price point and move into a larger home above the $250k price range. It’s even better if you’re looking to invest between $250k and $400k, or in a full scale luxury home.
Feel free to give me a call anytime to chat about the current market and we’ll see how it can benefit you this year.
Realtor | Founder
The Matheson Team – RE/MAX Fine Properties
21000 N. Pima Rd., #100, Scottsdale, AZ 85255