Is the housing market in Arizona slowing down? After hitting market highs this year, the housing market may finally be seeing some relief, as sellers are seeing fewer offers, and the gap between supply and demand is slowly decreasing.
Although competition is still high, housing prices are increasing at a slower rate, leading to an eventual decrease. This could provide some relief to home buyers as supply rises and demand decreases.
In the past year, the Phoenix area saw prices skyrocket as inventory became more scarce and the number of buyers increased. With buyers eager to outbid their competition, Phoenix and Scottsdale saw a 30% rise in housing costs, with the median homes priced at $360,000 and $700,000, respectively.
Natalie Campisi, a Mortgage and Housing Analyst at Forbes, suggests that sales have finally begun to decrease over the past few months as prices are starting to cool down and inventory is becoming available.
“While a full-on celebration might be too soon, prospective homebuyers can breathe a little easier, based on predictions from real estate experts. Prices are beginning to decelerate in some areas as more inventory has become available for single-family homes,” writes Natalie.
While costs are expected to start decreasing as more inventory comes onto the market, buyers shouldn’t expect a significant drop. If you are looking to buy a new home, now is the time to start talking to your lender and creating a financial plan.
Mortgage rates are amongst the lowest they have ever been, but they won’t last, and over the next year, mortgage rates are expected to rise. If you’re in the market for a new home, now may be the time to start looking. And, if you are looking to sell your home, don’t expect the rush of buyers willing to forgo consumer protections in an effort to outbid one another.
Whether you are searching for a new home or want to sell the one you’re in, contact Steven’s Realty so we can help you navigate the ever-changing real estate market.
We are Keith and Janna Stevens, and we’ve been in the realtor game for years now. We’ve learned a lot along the way and want to share that experience with you. Enjoy our blog, and when you’re ready to buy or sell your home, be sure to reach out to us!