Phoenix Real Estate Update

When buying or selling a home, how the market is fairing can drastically change your expectations for home prices and quality.  The Phoenix market is experiencing 21.7% growth in home prices year-over-year, with things looking optimistic going into 2013. 

Median Sale Price

The median sale price is a good indication of whether homes are selling for their true value.  After hitting its peak median sale price in 2007, the Phoenix market experienced what others across the country have been facing, and the price dropped to a new low.  Since then, sale prices been creeping upwards, and this year the prices reached the level they had been before the boom of 2007.  In layman’s terms, the sale price is returning to normal.

Number of Sales

The number of sales in Phoenix for the past few years has fluctuated significantly, but is currently a little higher than it was before the recession hit.  Overall, fewer homes are for sale than they have been in the recent past.  Sellers have the opportunity to take advantage of this since there is less competition in the market.  Buyers may have less to choose from, but with an able guide, they can still find their dream home.

Average Price per Square-foot

Ideally, the average price per square-foot would stay roughly constant, with a slight increase over the years to indicate the home’s value is appreciating.  Prior to the recession, Phoenix followed this general trend.  Today, however, there is significant variation in price depending on the time of year, the house sold, and many other factors. 

This is both positive and negative for people trying to navigate this market.  It means that for the savvy and informed consumer, there are incredible deals to be had, on both the buyers’ and the sellers’ ends.  However, there are also homes that are selling for significantly more and significantly less than they regularly would, so a buyer or seller who is not well-informed or who is not carefully analyzing each property may end up spending more than the home is worth.

Being well informed of market conditions can make your home buying or selling decisions easier.