Is this the expression that you get from your clients when you try to explain the Phoenix market to them?
Here are the facts, let's try to make some sense out of them.
1. Appreciation is still more than 10% over last year
2. The Number of Listings are not quite double than this time last year
3. The Number of Sales is tracking along "normal" lines, but are about 300 less than last year on average
4. Average Sale prices took a small hit early this year, but are higher than they have been in the last 5 years
5. Average Number of Days on the Market is currently 83 - Higher than last year, but lower than the 5 years previous to that.
If there is a single explanation to this set of facts, it would be "we are headed towards a normal market", but that answer is a little too simple.
There are lots of social issues being brought out in the market today, along with several big impacts on the financial side of things.
Socially, we are seeing people staying out of the market until they are older. Many College and University graduates are not finding the high paying jobs that they anticipated, and they are leaving school with an already large financial burden and don't want to add to it by financing a house. They would rather live with their parents a little longer to get their financial situation stabilized.
Financially, people seem to still be holding their breath to see what is happening next. They believe (maybe rightly so) that they need to see some solidity and growth in the economy before making any large changes. They have the feeling that there could be a big negative shift in the economy, even though they can't pinpoint where that shift may occur.
Leave a comment - let me know what you think!
#Avondale , #Goodyear , #Buckeye , #Glendale, #Phoenix, #Surprise, #Peoria, #Tolleson, #Laveen, #Waddell , #Wittman
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