Being new grandparents, when Liz and I were taking a walk around the park this morning I asked a couple how old their little one was (13 months?) and chatted a bit and then the dad asked if I was John Wake! Turns out he’s a fan of this newsletter and blog! That was fun!
Phoenix Real Estate Market – Update
Active Listing Up 20% in 2 Weeks!
Looks like a break in trend 2 weeks ago in Active Listings of single-family detached homes for sale. From the 2nd to the 4th week of April, Active Listings increased 20%. In a normal year, they would be trending down slightly at this time of year.
We’re not seeing an increase in new listings hitting the market but a decrease in listings going under contract. It’s only 2 weeks so it may be an anomaly but likely it reflects the sharply higher mortgage rates starting to reduce demand.
More Supply on the Way
Phoenix building permits for single-family houses in March were the highest since 2006 and 66% higher than 2 years ago March.
Phoenix Factoid
In March 2009, 10,114 Notices of Trustee Sale were sent out in Maricopa County. That’s the first step in the foreclosure process here. In March 2022, 413 were sent out.
The big question is, “What will investors do?”
They’re driving the market now, and my scenario assumes they start to cool on single-family houses.
Click on the graphs to go to the full-size, interactive version.
This information can vary a lot in different parts of metro Phoenix. Your real estate agent can find the data for your specific city or zip code at The Cromford Report.
4 Responses to Number of Houses for Sale Up 20% in 2 Weeks in Metro Phoenix
Hey John,
Greetings from Saudi Arabia,
We’re living in very interesting times. We were about three days away from listing our Anthem home for sale six weeks ago, but decided to wait due to inflationary pressures. Zilllow shows the price estimate of our home rising from from 835K to 938K since February. I understand the limited value of the Zillow valuations but actual sales certainly support the rising values as well. I’ll continue watching the market and try to make educated decisions if and when we make a move. Following your work is certainly part of the education process and I appreciate it.
Congratulations on the birth of your grandchild. Grandparents and grandchildren have very special bonds. I have 13 of the maniacs running rampant back home and I certainly miss them.
Best Wishes,
Tom
13! OMG! Sounds wild… but fun. Mine is probably cuter than any of yours, though. Right now, I think prices will peak this summer, especially if the Fed keeps jacking up the rates so fast.
Hi John – big fan of your blog. It’s fantastic.
Can you help me understand why your numbers on Phoenix housing that show big increases in supply differ so much from Redfin’s data here: https://www.redfin.com/news/data-center/
Thanks
I think Redfin is a 4 week moving average which slows down the changes (and they may include some houses that I consider to be Pending as Active – for example, I don’t include houses that are Under Contract but entertaining Back-Up Offers as Active, but I think Redfin does consider them to be Active for sale).