(See recent posts on Phoenix Case-Shiller Home Price Index.)
The $8,000 first-time home buyer tax credit was originally supposed to expire at the end of November. Home prices spiked through December as those transactions closed. You can see it on the graph for Phoenix, anyway.
Then the program was extended to April 30 and we see prices strengthening in April after drifting lower January-March. We could see the same effect as we did last autumn with prices increasing again in May but then drifting lower for a while starting in June. We’ll see.
Phoenix Homes Appreciate 0.5% in April
Clearly the vast majority of the correction has already occurred in Greater Phoenix home prices and now we may be knocking along the bottom, more or less. The Case-Shiller home price index for Phoenix is now where it was in October 2009 and July 2001, according to my analysis of Case-Shiller data.
More on Phoenix home prices with references in Phoenix Business Journal.