How’s the Market? Here is your West Valley Market report for April 2021! So at this point you all know we are in a supply shortage and driving prices up, multiple offers and buyers having a really hard time getting a home. Well nothing has changed, except that theres less inventory and sales are exploding! Which is just incredible given the low amount of inventory.
All West Valley cities except for El Mirage -4.5% and Tolleson -7.5%, had record sales over last year for the month of April. Waddell was up 61.1%, Avondale was up 48.8% over last year, Peoria 47.4% up, Phoenix 41.2% up, Glendale 38.9% up, Goodyear, 37.6% up, Surprise 33.2% up, Laveen 15.9% up and Buckeye up 2.0%. Maricopa County overall was up 42.0% in closed sales for the month.
These sales are incredible when you compare the drop in inventory over April last year. Goodyear -67.18% down, Buckeye -67.04%, Peoria -60.42%, Waddell -57.49%, Avondale -56.57%, Litchfield Park -57.21%, Surprise -53.33%, Tolleson -50.98%, Phoenix -43.24%, Glendale -37.62%, Laveen 36.36%, and El Mirage -17.86%. Maricopa County overall was down -50.86% in inventory supply for the month.
Median home prices are up every where year to date. Laveen is up 30.86%, Buckeye up 27.21%, Waddell up 24.61%, Tolleson up 23.53% Glendale up 23.05% up, Goodyear up 22.58%, El Mirage up 21.71%, Peoria up 21.23%, Avondale 20.80% up, Surprise up 19.86%, Phoenix up 17.90% and Litchfield Park up 16.12%. Maricopa county up 18.96% over last year with a median home price of $355,700.
Market insights: Still seeing multiple offers going well over asking price. Buyers are having to get more creative than ever when competing with 15-20 other buyers, most are waiving appraisals and inspections, accepting the home in as-in conditions with no repair request. Risky, yes, but thats what it takes to get your offer accepted.
Experts continue to predict that we will continue this type of demand market well into 2022. Once again, this is not a housing bubble, but a low supply for the amount of people moving into the greater Phoenix area. Affordability is still very reasonable at 62% for the median house hold income of $80,000. More good news from the forbearance numbers showing a 22% drop last month in homes in forbearance. Many folks paying the debt in full while others partook of the repayment plan. Only 16.9% of the 2.2 million homeowners don’t seem to have a plan at all. For Maricopa county that is roughly little over 7,000 potential mortgages in default compared to 500,000 homes during the mortgage crisis of 2006-2011. Given the increase in home prices, those folks will likely be able to sell their homes and avoid any type of foreclosure.