(See recent posts on Phoenix Case-Shiller Home Price Index.)
Phoenix Home Prices Fell 1% in August
We knew from the median sold price data that already came out that home prices fell in metro Phoenix in August and now with the Case-Shiller Index we can quantify exactly how much Phoenix homes depreciated between July and August and the answer is Phoenix home prices fell 1.0% in August.
Las Vegas home prices were flat while the other cities were falling. Going against that broader trend suggests to me that Las Vegas home prices are strengthening. “Strengthening” probably isn’t the right word. It’s more like Las Vegas home prices are less weak.
It will be interesting to see what happens to Phoenix home prices in September. Some were expecting much weaker prices this fall.
Phoenix Home Prices Index Same as May 2001
Phoenix home prices overall are now where they were in May 2001, according to my analysis of the Case-Shiller data.
And this does NOT account for inflation. The inflation calculator app on my phone estimates inflation from 2001 to 2010 to be 24% in total. So in inflation adjusted dollars, metro Phoenix home prices are about 24% cheaper today than in 2001.
If you need a home and you can borrow the money, and you think the U.S. economy will bounce back some day, then you should very seriously consider buying an Arizona home.