Fletcher Wilcox of Grand Canyon Title came out with his monthly report on the Phoenix real estate market and he found a new clue explaining why Phoenix home sales have fallen so much in metro Phoenix.
All cash sales in February 2104 were down 41% compared to February 2013 but sales bought with loans were essentially flat, down only 2%.
Fletcher blames the fall in all cash sales on,
- Real estate investors leaving the Phoenix playing field, and
- The fall in the exchange rate for the Canadian dollar which makes Phoenix homes about 10% more expensive for Canadians this year on top of a 21% median home price increase in metro Phoenix.