Eye On Arizona

Phoenix – Mesa – Scottsdale Home Sales on the Rise

April 2, 2009

The Arizona cities of Phoenix, Mesa and Scottsdale, experienced an increase in single-family detached home sales in March over the months of February and January. The Phoenix home sales increased 28%, up 538 closings from February to a total of 1,951 closings in March. Homes Sales in Mesa increased by 25%, while sales in Scottsdale increased by 21%. Buyers are taking advantage of the lower interest rates and the higher degree of home affordability and scooping up bargain priced homes.

Areas like Phoenix are seeing multiple offers on affordable homes. The table below presents an overview of the single-family detached home statistics in the Phoenix, Mesa, and Scottsdale market. It also reveals the numerous amounts of bank owned, short sale, and auction properties.

With lower interest rates on buyer’s sides, it is a good time to purchase.  Once the economy begins to turn around, renowned economist, Dr. Joel L. Naroff, President of Naroff Economic Advisors, predicts that the Fed may raise interest rates sharply.  He states that the Federal Funds rate could rise from 0.5 or 1% to as high as 4.5% within a six-month period at the first signs of an economic recovery.  Overall, Naroff expects the second half of 2009 to have a stronger fourth quarter than other economic models currently predict.

Sources:

• *Data gathered through ARMLS. Owner Occupied Residential. http://armls.imapp.com/ilinks/search, many of the auction properties are not listed on the MLS and include all owner-occupied properties; therefore the number of homes available in the table does not reflect this number.

• FlexMLS. 31 March 2009.
• Knowledge @ W.P. Carey. The Economic Forecast?  Cloudy with a Chance of Shower, at Least until 2010. 18 November 2008.

Information deemed reliable, but not guaranteed.

Tags: Auction properties, Bank Owned, Mesa Housing, Phoenix Housing, Phoenix Real Estate, REO, Scottsdale Housing, Short Sales
Posted in: AZ Housing Market