Mike Orr, director of the Center for Real Estate Theory and Practice at the W. P. Carey School of Business at Arizona State University, and other experts explained how to make sense of the housing market during “Phoenix Housing Market Explained II,” an event hosted by the W. P. Carey School of Business and The Arizona Republic on January 25.
I “cover” 10 of Mike’s slides and give them my own spin in this video.
One of Mike’s slides says, “Resale & new home pricing unlikely to rise in 2014.” I had been thinking that the metro Phoenix median home price would increase maybe 3-6% but I was worried that might be too low an estimate. Now, considering Mike’s slide, I’m wondering if that’s too high.
And then yesterday HomeSmart real estate agent Rachele Funk told me she thought home prices were likely to fall a bit in some zip codes, especially those that are going to be hard hit by the reduction in the FHA loan limit. The FHA loan limit for single-family homes in metro Phoenix was reduced to $271,050 in January from $346,250 previously.
It will be absolutely fascinating to see how the Phoenix real estate market plays out during this transition year!