Ivy Zelman might be the best real estate market analyst in the nation. She’s not always right but she usually is.
Here’s a recent interview with her on CNBC.
Phoenix Inventory of Houses for Sale
The increase in the number of single-family, non-distressed houses for sale in the metro Phoenix MLS slowed down a little bit last week but it’s still increasing scary fast.
The red line is 2022. The green line is 2019, pre-pandemic.
Is There Any Good News?
The only optimist thing I can think of is that inflation is your friend if you recently bought a house to live in, or plan to soon.
If you have a 30-year fixed-rate mortgage, inflation will lower your real, inflation-adjusted mortgage payments over time. Hopefully, your income will at least keep up with inflation.
A 10% inflation rate during the first year of your mortgage, for example, would lower your real principal and interest mortgage payments by 10% for the next 29 years.
Hope for longer inflation, and inflation that is higher than your current mortgage interest rate. Then hope mortgage rates fall in a couple of years and you can refinance into a much lower rate mortgage.
Click on the graphs to go to the full-size, interactive version.
New Listings and Solds
Notice how tiny changes in New Listings and Solds eventually cause HUGE changes in the number of houses For Sale and house Prices (see graph above).
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.