How’s the Market? Here is the February 2017 West Valley Market Report. The Housing market conitues to be incredibly strong, as all West Valley cities saw double digit increase in the number of homes sales in February, with the exception of Surprise, which had a 3.6% increase over 2016. Goodyear had the highest increase at 43.6%. All cities also saw an increase in homes prices, many with double digit increases! Inventory levels continue to be very low, month over month new listings seem to match the amount of homes sold, continuing a strong Seller’s Market.
The Average days on Market to sell a home continues to increase. Why? In my opinion there are two reasons for this, first, over priced listings. Buyer’s are aware of the repercussions of paying too much for a home, they either lost a home themselves or knew someone who did, and they are “buying smart” this time around. Therefore the homes that are overpriced, have continued to sit on the market as buyers avoid them, so we are seeing lots of price decreases as Seller’s try to find Market Value and gain consumer’s interest. Another thing we see with consumers, are higher expectations. Homes that are not staged for sale, clean, professionally photographed, outdated, tend to sit longer and sell for much less. I tell my sellers, “We have to go on the Market looking perfect and priced right.”
So why the huge increase in the number of homes sold in February, aside from this being our high selling season, I believe the expectation of interest rates increasing. As mortgage lenders report, “The idea of a Fed policy rate hike in March has gained steam, with an almost 80% expectation it will happen. Just last week there was only a 30% chance.” Homes Values and Interest Rates increasing, Now is the time to buy your new home.
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Tags: Buyers, Market Condition, Market Reports, Sellers
