Andrew Robb | Andrew Robb RE/MAX Fine Properties Andrew Robb | Andrew Robb RE/MAX Fine Properties

Phoenix Real Estate Report

phoenix real estate market update
1. How fast are homes selling? Average number of days on market is 40 (up 12 days from last year)
2. How many homes are for sale? We currently have 21,389 properties for sale (up 117% from last year)
3. What is the average sales price? Homes across the city are selling for $553,584 (up 12% from last year)

August’s supply was down 7% from August 2021 (with 10,362 homes listed for sale last month) and August’s demand was down 30% from August 2021 (with 6,317 homes sold last month). Average home values increased 12% in the last year and we now have 3.5 months of inventory, which is more than triple the quantity from this time last year. Under 2 months supply is a seller’s market, 2 to 4 months is a balanced market, and over 4 months is a buyer’s market.

What’s going on? In August, we saw a year-over-year drop in purchases by institutional investor buyers and sales volume declined across the board by almost 29% from last year. The one bright spot was the rise in new constructions: newly built home sales were up almost 8% year-over-year and accounted for 1 in every 5 home sales in August. As demand fell, the number of homes for sale continued to rise, however the rate of increase has slowed. The inventory of homes for sale increased 5% from last month, whereas in May this same metric was 37%.

Our market is best defined as balanced. We’ve often heard a balanced market defined by the number of homes for sale, but in essence a balanced market is determined by the relationship between supply and demand (ie. the number of months of inventory, which as noted earlier is 3.5 months). Supply is low, but demand is equally low. As expected, the average sales price fell 2% in August. In September, we’re projecting a drop of 1%. Like the rate of inventory coming to market, the rate of decline in prices is also beginning to moderate.

The market is still suffering the effects of unusually low affordability. Mortgage rates are much higher than they were at the start of the year and even if prices drop to the level they were in January, homes will still be less affordable due to these higher rates. As of late last week, the average 30-year fixed mortgage rate was 6.02%, meanwhile a year ago it was 2.86%

In conclusion: This is the first time since late 2008 that rates have been this high. Although the increase in rates will continue to dampen demand and put downward pressure on home prices, inventory remains inadequate. This indicates that while home price declines will likely continue, they should not be large.

Data from ARMLS® COPYRIGHT 2022.

11109 N 161ST AVE, Surprise

* SOLD FOR FULL PRICE * Spotless 3 bedroom & 3 bath home in Greer Ranch features two-tone paint, large den with double doors, great open concept kitchen with silestone quartz counters, breakfast bar & walk-in pantry. Spacious dining area & family room complete this popular open floor, making it great for entertaining. Master bedroom boasts walk-in closet, large master bathroom with a walk-in shower, dual sinks & private toilet room. Large laundry room with upper cabinets leading to oversized 2.5-car garage. Backyard has covered patio & paver stone sitting area. Home sits across from beautiful greenbelt with walking paths.

Surprise AZ home for sale, marketed by Surprise AZ Realtor Andrew Robb.

Listing Price: $469,000
MLS #: 6421801
Address: 11109 N 161ST AVE
City: Surprise
State: AZ
ZIP: 85379
Home Size: 2,100
Lot Size: 6,379
Bedrooms: 3
Bathrooms: 3
Garages: 2
Pool: N

17917 W SAN MIGUEL AVE, Litchfield Park

* SOLD FOR 97.6% OF ASKING * Custom built Tuscan home in gated community of Russell Ranch on almost half acre corner lot, with 4 bedrooms (including one with ensuite bathroom), 3.5 bathrooms, 3-car garage & RV gate. So many upgrades to appreciate: soaring ceilings featuring rough-sawn rafters, travertine flooring, knotty alder doors & cabinets, granite counters, huge stone fireplace, wet bar, stainless steel Jenn-Air appliances, upgraded lighting, surround sound & more! Large master bathroom has walk-in travertine shower with dual heads & jetted tub. Mature backyard made for entertaining with large pebbletec pool & spa, waterfall feature, two fire pits, expanded covered patio & big grass play area. Entire exterior has just been professionally repainted!

Litchfield Park home for sale, marketed by Litchfield Park Realtor Andrew Robb.

Listing Price: $1,050,000
MLS #: 6407453
Address: 17917 W SAN MIGUEL AVE
City: Litchfield Park
State: AZ
ZIP: 85340
Home Size: 3,711
Lot Size: 18,618
Bedrooms: 4
Bathrooms: 3.5
Garages: 3
Pool: Y

5923 W GARDEN DR, Glendale

* SOLD FOR FULL PRICE * Upgraded home in great central location, with lots of space and vaulted ceilings. Master bedroom features large sitting area and walk-in closet, plus sliding glass door to back yard. Two additional bedrooms and office offers work from home flexibility. Easy to keep clean with tile and laminate flooring. Mature landscaping all around for privacy. Windows are dual pane, roof and HVAC are about 10 years old.

Glendale AZ home for sale, marketed by Glendale AZ Realtor Andrew Robb.

Listing Price: $450,000
MLS #: 6387786
Address: 5923 W GARDEN DR
City: Glendale
State: AZ
ZIP: 85304
Home Size: 1,719
Lot Size: 7,000
Bedrooms: 3
Bathrooms: 2
Garages: 2
Pool: N

9551 N 82ND LN, Peoria

* SOLD FOR $10k OVER ASKING * 3 bedrooms, loft/den upstairs, 2.5 bathrooms, huge open kitchen & easy maintenance back yard. Everything has been tastefully done for you: exterior painted Dec 2021, new Trane HVAC entire system Jun 2021 (10-year parts & 5-year labor warranty), all kitchen & bathroom cabinets refinished Dec 2021, new farmhouse kitchen sink & faucet, new faucets in all bathrooms, new light fixtures throughout, new family room flooring Dec 2021 & carpet professionally cleaned Jan 2022. Incredible value at only $222 per square foot!

Peoria AZ home for sale, marketed by Peoria AZ Realtor Andrew Robb.

Listing Price: $389,000
MLS #: 6339427
Address: 9551 N 82ND LN
City: Peoria
State: AZ
ZIP: 85345
Home Size: 1,752
Lot Size: 3,235
Bedrooms: 3
Bathrooms: 2.5
Garages: 2
Pool: N
Andrew Robb - RE/MAX Fine Properties, 21020 N Pima Rd, Scottsdale AZ 85255