Arizona Real Estate Market Report

Phoenix Real Estate Market Snapshot Analysis of condos and homes for sale and business in Chandler, Gilbert, Mesa, Scottsdale and Tempe AZ

Phoenix AZ Economic and Real Estate Market Update

 

Arizona is the 14th most populated state in the U.S. in part because our strong job market attracts many new residents seeking sunny days and western lifestyle.

Employers moving to Phoenix or expanding existing operations include Apple, Deloitte, Dexcom, Intel, Orbital, SAP, State Farm, USAA, Wells Fargo, Bank Of America and Raytheon.

Arizona property taxes are low, the cost of living is low and home prices remain affordable.

Phoenix Arizona housing remains a bargain. But prices continue to rise at a rate of 5-7% per year. Don't wait expecting prices will stay the same or go down from where they are now. That is lots of demand from home buyers with multiple offers received for the most desirable homes.

Phoenix continues to attract employers and new residents are moving here to enjoy our climate and desert lifestyle.

Arizona's cities recognized by Law Street Media as being in the Top 10 SAFEST U.S. cities over 200,000 population for 2018 are:

#4   Gilbert, AZ for 2018 and #2 for 2017, 2016, #3 for 2015 and 2014
#9   Scottsdale, AZ for 2018, #9 for 2017, #7 for 2015
#14 Chandler, AZ for 2018 and #10 for 2017, #8 for 2016, #10 for 2015 and #11 in 2014

Forbes Magazine for 2015 has Mesa, AZ listed as #7 Safest City in the U.S.

Congratulations to the citizens and police forces of these great city Stats!

 

Snapshot of Average Selling Price of Homes and Condos
Closed during June 2019

 

The closed sales summaries below will help you identify communities with an average sale price within your price range. (Condos include all ATTACHED dwelling types including Apartment Style, Duplex, Loft, Patio Home, and Townhouse.)

 

CHANDLER AZ SALES

Chandler Condos for Sale 
Condo Sales - 77
Avg. Sales Price - $234,952
 
Homes for Sale Chandler AZ
Home Sales - 437
Avg. Sales Price - $387,761

 

GILBERT AZ SALES

Gilbert Condos for Sale 
Condo Sales - 35
Avg. Sales Price - $229,049
 
Homes for Sale Gilbert AZ
Home Sales - 560
Avg. Sales Price - $395,492

 

MESA AZ SALES   

Mesa Condos for Sale 
Condo Sales - 161
Avg. Sales Price - $187,963
 
 
Homes for Sale Mesa AZ
Home Sales - 681
Avg. Sales Price - $328,379

 

PHOENIX AZ SALES 

Phoenix Condos for Sale 
Condo Sales - 422
Avg. Sales Price - $219,025
 
Homes for Sale Phoenix AZ
Home Sales - 1716
Avg. Sales Price - $356,371

 

SCOTTSDALE AZ SALES

Scottsdale Condos for Sale
Condo Sales - 302
Avg. Sales Price - $358,494
 
Homes for Sale Scottsdale AZ
Home Sales - 520
Avg. Sales Price - $800,529

 

TEMPE AZ SALES 

Tempe Condos for Sale 
Condo Sales - 69
Avg. Sales Price - $207,944
 
Homes for Sale Tempe AZ
Home Sales - 149
Avg. Sales Price - $359,726

 

Maricopa and Pinal County Single Family Detached Home Sales:
June 2019 Compared to June 2018

 

Maricopa County Single Family Detached Homes:

  • Closed Escrows of 6834 UP 2%,
  • Average Home Sales Price UP 4% to $389,595 and 
  • Time to Sell UP 7% from the same month a year ago to 59 days.
     

Pinal County Single Family Detached Homes:

  • Closed Escrows of 861 UP 4%, 
  • Average Home Sales Price UP 4% to $240,610 and
  • Time to Sell UP 5% from the same month a year ago to 58 days.
     

PHOENIX REAL ESTATE MARKET CONDITIONS
 

Phoenix Real Estate Market (Maricopa County) is considered a Seller's Market with a 2.8 month supply of unsold single-family detached homes for sale on the market based upon 6,834 sales during June 2019 with a current inventory of 18,957 ACTIVE properties for sale. A healthy, balanced real estate market that favors neither the seller or the buyer is an ideal 6 months of inventory. Currently, we DO NOT have enough homes for sale. As our spring market ramps up, inventory levels continue to shrink. Contracting on a new home with delivery mid-year is ideal for the seller! Call to discuss the best ways to plan your next move and how I reduce your stress and anxiety of moving.
 

IMPACT OF LOW HOUSING INVENTORY

Low listing inventory levels with high buyer demand pushed sales prices higher. But many hopeful buyers dropped out because they were unable to get their offers accepted and sellers, who wanted to move, didn't put their home up for sale because they were, or anticipated they would be, unable to locate and purchase another home to replace the one they are selling. If you are going to buy a home in late spring and early summer, act quickly and be prepared to offer at or above list price and only ask for seller concessions you really need to make the sale possible.

The current inventory of SINGLE FAMILY HOMES measured in months (with 6 months as ideal) is Chandler (2.3), Gilbert (2.1), Mesa (2.3), Phoenix (2.7), Scottsdale (4.6) and Tempe (2.7) inventory level of Homes for Sale!

Limited inventory (less than 6 months) could push prices higher or keep sellers from putting their home on the market and move because they can't find a home to buy!

New home and Traditional home listings have a far fewer short sale and bank owned homes to compete with and this has allowed sales prices to rise and put our real estate market correction behind us. There were only 71 distressed property sales (HUD, REO & Short Sales) during June 2019, representing only 0.9% of 7894 sales of All Property Types.

Arizona Single Family Home Sales UP 2% Statewide from a year ago:
 

* NEW HOME SUBDIVISION UPDATE as of August 19, 2019 *

  • 602 New Home subdivisions: 2 more than six months ago!
  • 2124 New Build SPEC homes for sale: 231 less than six months ago!

My interpretation of the update above is: builders are able to find more land to build, builders are confident of buyer for new homes and there has been a great deal more buyer demand and builders know buyer demand through the rest of the year will drop off until next spring.

The availability of new homes built by the builder on speculation gives sellers, who have their home in escrow and need to purchase a home within 30 days or a new resident relocating into Phoenix, an opportunity to purchase a new home available for quick occupancy. Otherwise, expect a 7 to 9-month build cycle for the builder to build a new home from scratch, which is a long time to wait before you can move in!!! Anxious to move? Have me start checking out all the new home developments for available Spec homes that closely match your ideal home by location, size, features, and price.

Contact Sam today to have him find your ideal home in one of the many New Home Subdivisions - including those in the city of Chandler and Gilbert AZ. I will find the best homes in the best locations within your price range and the best value, by evaluating all new homes and resale homes for sale.


Median Resale Home prices are lagging Median New Home prices by more than $50,000.

This is to be expected with higher land costs and all the features buyers expect in their new home. Builders are cautiously optimistic about future sales and are building enough Spec Homes to keep up with demand.


Even though New and Resale home prices are rising, historically our low-Interest Rate is keeping the cost of the typical new home affordable. If you are in the market for a new home, now is the time to buy!

There are few large tracts of land in Maricopa County available to build homes. Buyer interest for new homes in Phoenix remains strong and builders are buying land to build new homes. You can expect new home prices to steadily increase in Maricopa County, driving more growth in Pinal County.
 

GOOD REASONS NEW HOME PRICES ARE HIGHER
 

New home Phoenix prices are higher than resale homes because of 1.) Land costs are higher, 2.) Building material costs are rising due to inflation, 3.) Labor costs due to a shortage of skilled workers are always increasing, and 4.) Increased city impact fees charged developers to cover the cost of expanding infrastructure to provide vital services to new subdivisions such as water, sewer, roads, electricity, gas, schools, parks, fire and police coverage, libraries and other services to meet the needs of all of the residents in new communities.

THIS IS AN IDEAL TIME TO BE A PHOENIX NEW HOME BUYER BECAUSE OF ALL THE CHOICES OF NEW FLOOR PLANS AND SUBDIVISIONS! IT IS NO LONGER A BUYER'S MARKET. THERE IS GREAT DEMAND FOR NEW HOMES AND PRICES ARE EXPECTED TO REMAIN HIGHER THAN RESALES. CONTACT SAM FOR HELP IN FINDING YOUR NEW DREAM HOME!!!

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