Worrisome News About the Phoenix Real Estate Market
With some good news, too.
Monthly Data - Through January
Real, inflation-adjusted prices are still above the peak in 2005.
The number of NEW LISTINGS rebounded in January. The number of homes hitting the market in December, however, was the lowest for any single month since at least 2001.
The number of single-family detached houses SOLD in January was the lowest for any single month since 2008.
Thank goodness for the low number of new listings hitting the market, otherwise, prices would be falling faster.
This helps explain the boom in 2021 and 2022.
But it’s also worrisome. It suggests real rates will continue to increase.
Want some more worrisome data? This suggests mortgage rates will increase more than the market thought in January.
And some more worrisome news for house prices.
But will all the people who blamed the skyrocketing house prices entirely on low supply and underbuilding be happy to see all the supply on the way?
Now some good news. According to the way Redfin measures it, investor purchases in the 3rd quarter of 2022 were down 49% from the 3rd quarter of 2021.
Nevertheless, investor purchases in the 3rd quarter of 2022 were still more than 2.5 times HIGHER than during the 3rd quarter of 2001.
Click on the graphs to go to the full-size, interactive version.
Notice how very small changes in New Listings and Solds eventually cause HUGE changes in the number of houses For Sale and house Prices (see graph above).
This information can vary a lot in different parts of metro Phoenix. Your real estate agent can find the data for your specific city or zip code at The Cromford Report.
Phoenix Weekly Market Graph (only)