The ARMLS Stat report just came out and shows some changes occurring to the Phoenix Real Estate market for the November 2015 update.
MONTHLY SALES ARMLS November 2015 (Phoenix AZ area):
The total number of SOLD homes was 6,304 which represents a 2.4 increase compared to last year but a 9.1% decrease compared to last month. This shows that the Phoenix real estate market is slowing down a little for the fall season.
Monthly NEW INVENTORY ARMLS November 2015 (Phoenix AZ area):
The number of new listings that entered the market was 10,050 which represents a 3.1% year-over-year increase and an 8.8% month-over-month increase. This is good news for buyers as they have more a larger selection of homes to choose from but can be bad news for home sellers as competition has increased.
SUPPLY OF INVENTORY ARMLS November 2015 (Phoenix AZ area):
The Phoenix real estate market, like all markets is based on supply (the number of properties for sale) and demand (the number of properties sold). Looking at the chart you can see that because inventory levels have increased, the months supply of homes has increased to 3.91. In plain terms, if no other homes entered the market, based on the current buying trends, it would take just under 4 months to clear out the supply of homes. Of course not every home is desirable or will sell (usually due to price, but can also be caused by location or condition). This is considered a balanced market, with about the same number of homes for sale vs the number of homes buyers are desiring to purchase.
SALES PRICES ARMLS November 2015 (Phoenix AZ area):
Sellers will be happy to note that home prices are up 7.9% year over year on average and 10.6% year over year on Median. I commented last year that home prices would increase at a normal pace (3% to 5%) in 2015 and it looks like the higher demand for homes has doubled my prediction. Of course all areas and all neighborhoods are different. You should contact a real estate professional that can give you a specific update on your neighborhood sales.
DISTRESSED SALES ARMLS November 2015 (Phoenix Area):
Distressed Sales also knows as REO, Bank Foreclosures, Repos or Short Sales have decreased dramatically over the last four years. Short sales have decreased 27% over this time last year, foreclosures nearly 40% and the year over year total is down 35%.
AVERAGE DAYS ON MARKET ARMLS November 2015 (Phoenix Area):
The average days a property was on the market was 73 which is 15 less than a year ago but 2 days longer than last month. As we enter the Fall season, the real estate market stays active, but tends to shift toward the second home or retirement home communities also know as the Active Adult or 55+ communities. The market has been unusually strong the last two Decembers with the number of homes sold higher than usually for the ned of the year.
If you have any questions about your local real estate market, and would like a custom report without obligation then contact Donald Keys Professional REALTOR since 2006 at (602) 750-1744.