Todays topic: How's the Market.

Thank you to anyone who is brave enough to read this shit. I know reading about market conditions in real estate is SUPER invigorating stuff. I just want to try my best to keep you up to date on market conditions. Now listen, I live in the greater Phoenix area myself, but also work in Pima, Pinal, and Santa Cruz Counties. Typically, we are going to be looking at the greater Phoenix area market just because it’s the largest market in the state. That being said, I will be releasing a monthly market update that will lend a MUCH larger picture including these different County data. I am going to try to keep this short, sweet, and to the point, and if you really want to dive more in depth or have specific questions, please shoot me a text or a call. I love doing my real estate reviews to provide them a more specific view of market conditions that suits their needs. 

So to the meat and potatoes. As a whole, the market is favoring buyers. 

BIG ASS ASTERISK: There are a lot of factors at play. When we take into consideration the greater Phoenix area is comprised of numerous zip codes, and thousands of neighborhoods. Not to mention the differences in price/condition/and amenities. This is a large-scale view and may not reflect specific market conditions. 

That being said, the market is slowing down. What’s causing this is a seasonal increase in listings that is normally met with an increase in demand. The problem is the demand is being suppressed by a few different factors, the main factor being interest rates. We are starting to see the median price come down, but I don’t know if it is enough to drive enough traffic to move the needle in favor of sellers. It’s a catch-22 though. With higher interest rates, we are seeing less demand creating more room for seller concessions to buyers. AKA stronger negotiating positions for buyers in the market. The hard part is higher interest rates combined with semi-stable prices reduces the amount of home buyers can afford. 

Simply put as a buyer, if you can comfortably afford a mortgage payment. Right now presents an opportunity to buy without a lot of competition. 

As a seller, pricing is going to be critical. In my opinion, testing a higher price on the market may do more harm than good.