Hows the Market?? Here is your Phoenix / West Valley area Real Estate Market Report for October 2022. Statistically we are now in a blanched market, headed to a “soft buyers” market. In my opinion this market is like a stagnant chess game, both sides holding out. Buyers are on the fence waiting for interest rates to come back down. Sellers are waiting to list in Spring, or deciding to rent. Which in turn means the rental market is seeing a large increase in listings and prices are beginning to come down on leases as well.
However for those sellers motivated to sell for one reason or another we are seeing price reductions, average about $15,000. As well as 47% of sellers gave Buyers concessions towards closing cost or rate buy downs. However with the price reductions all West Valley cities median home prices are still up over last year, just not double digit increases like we had seen.
October closing in Waddell and Tolleson were up over last year, Wadell 14.3% and Tolleson 4.3%. All other cities were considerably down over last year. El Mirage -62.5%, Avondale -52.8%, Surprise -47.9%, Peoria -46.3%, Glendale -45.3%, Phoenix – 43.7%, Buckeye -34.7%, Goodyear -33.3%, Litchfield Park -20.7%, and Laveen -13.6%.
While inventory levels have increased greatly in, we have not seen a plummet or crash in the market. The greater Phoenix area has tremendous employment growth and still a highly desirable retirement state. It is also anticipated that this will be a slow winter for sales and an expected decrease in home prices. Thats good news for Buyers holding out until spring, however with more buyers in the market, sellers may not have the need to offer closing cost incentives.
Market insights:
Greater Phoenix area is still not headed to a market crash, by any means, we still have such a high demand and growth.
Average seller concessions towards buyers closing cost for October closings was $9,000.
Tags: Buyers, Market Condition, Market Reports, Sellers
