November 2018 Phoenix Real Estate Report

phoenix real estate market updateHighlights of my November 2018 Phoenix Real Estate Market Report:

1. How fast are homes selling? Average number of days on market for homes sold is 60 (down 5 from last year)
2. How many homes are for sale? We currently have 19,654 properties for sale (down 4.5% from last year)
3. What is the average sales price? Homes across the valley are selling for $326,100 (up 9.8% from last year)

The Phoenix real estate market has been very good to homeowners for many years and we are still on an upward trajectory that started a long while back. October’s supply (measured by homes listed for sale last month) was down 1.4% from October 2017 and October’s demand (measured by homes sold last month) was down 1.2% from October 2017. Since the rate of drop in demand was essentially the same as the drop in supply, we would expect home values to be flat of late – which they have been and will likely remain so through the holiday season that is upon us. There is good news however: home values have still risen almost 10% on average in the past 12 months but our current market absorption rate has spiked to 2.43 months (keep in mind, lower is better if you are selling) from under 2.2 months not long ago. Absorption rate means that if no additional homes were listed for sale, it would take 73 days for every home listed in the valley to sell, based on current level of demand. Last year it would have taken over 78 days to absorb every home offered for sale in Phoenix, so we are still better off in theory than a year ago. A seller’s market is said to occur when absorption is below 3 months and a buyer’s market is when it is over 5 months. When absorption is between 3 and 5 months, it is deemed to be a balanced market favoring no side in particular.

Curious about your current Phoenix home value? Ask me for your Phoenix Property Value report created especially for your home and emailed to you within 24 hours. It is filled with local market data, demographics, pricing trends, your home’s estimated value and my confidence rating.

Realistic pricing and professional photography to showcase a property are essential in maximizing value and minimizing time on market. Ask about my written guarantee to sell a home within 67 days at a price acceptable to the owner or they get $1,000 from me at closing.

RE/MAX Renaissance Realty
9059 W Lake Pleasant Pkwy #B200
Peoria, AZ 85382