No Comments

Maricopa Market Update July 11, 2017

The needle on available homes will just not move as 281 subdivision homes are once again listed available on the MLS, listed at an average of $101.01 per square foot. 235 homes are currently under contract, and sales have been fairly strong as 109 homes have sold since our last update on June 21, selling at an average $93.13 per square foot. The dog days of summer are upon us and typically buyer demand tends to wane a bit this time of year, and the data proves it.

So let’s take a brief look at June 2017 vs June 2016; sales of subdivision homes were down just over 1% with 181 homes selling this June vs the 183 homes sold last June. The average sold price however of those subdivision homes shot up by more than 13% to $200,800 vs June 2016’s average sold price of $177,336. Days on market fell by 20%, primarily due to the lack of inventory, and the total dollar volume was up by more than 10% to $37.5 million. Conventional loans dominated the month with 42% of all purchases, FHA loans comprised 30% of all purchases, cash purchases were 17% of the market with VA loans shoring up the remainder. The number of available homes continues to lag last year as the average availability is down by 20%.

The YTD numbers however show that the market is strong and sustainable. Subdivision home sales are up by 13% to 944 home sold through the end of June, versus last years total of 836 homes sold for the same time period. The YTD average sold price for a subdivision home is up by just over 10% to $191,466 versus last year’s YTD average of $173,825, days on market is down 15% and the total dollar volume is up nearly 25% to $190 million. The pool of buyers has also been real consistent throughout the year with 45% of all YTD purchases using conventional loans, 27% using FHA loans, 11% using VA loans, and 17% using cash. Based on current demand, there is less than a 60 day supply of homes so if you are currently looking to purchase, stay vigilant and when the right home presents itself, don’t hesitate. And if you would like us to help you navigate this market, call or email any time. Have another great week.

No Comments

Maricopa Market Update June 21, 2017

Well it’s one step forward and two steps back in this current market with record heat thrown in. Maricopa officially hit 120 degrees yesterday but it is a dry heat, and the number of available homes has once again dropped slightly over the last two weeks. 277 subdivision homes are currently listed as available on the MLS, listed at an average of $101.60 per square foot. 266 homes are currently under contract, and 91 homes sold over the last two weeks, selling at an average of $90.79 per square foot and bringing our YTD numbers now to 854 homes sold at an average of $91.38 per square foot. By comparison through the same time period last year, 735 homes had sold at an average of $86.01 per square foot, so the market is currently tracking up 16% in terms of homes sold and 6% in terms of the average sold price per square foot. Important to note is the fact that the average number of available homes is down nearly 30% this year from last, yet sales continue to exceed last year, meaning new builders will stay very active for a while.

Let’s take a brief look at how May 2017 finished up and for those of you who follow the market there are no surprises. Sales of SFD homes were up over 26% from May 2016 (193 homes sold this May vs 153 sold in May ’16). Total dollar volume increased by 45% to $40.6 million, driven largely by increasing values as the average sold price of a SFD home in Maricopa rose by 14% to $197,130 from last year’s average of $172,744. In terms of buyers, conventional loans once again led the pack financing 35% of all purchases in May 2017; 31% were purchased with FHA loans; 17% were VA loans, and 15% of all purchases were cash deals. The Maricopa residential market is surprisingly resilient. We fell the hardest of all Valley suburbs in the 2007/2008 housing crash, yet we recovered the fastest, and today we lead the Valley in terms of commercial and infrastructure development and home values. Maricopa is the hidden gem in the Phoenix Valley, come and find out why and call or email anytime we can be of help. Have another great week.

No Comments

Maricopa Residential Market Update June 3, 2017

The number of available subdivision homes has slightly increased for the first time in quite a while with 292 homes now listed on the MLS at an average $101.67 per square foot. 251 homes are currently under contract and it was another strong two weeks of sales with 100 homes closing escrow in the time period and selling at an average of 91.23 per square foot, bringing our YTD numbers now to 759 subdivision homes sold at an average of $91.35 per square foot. By comparison, through the same time period last year 660 homes had sold at an average of $86.18 per square foot, so the Maricopa residential market is currently tracking up 15% in terms of homes sold and 6% in terms of the average sold price per square foot. Important to note is the fact that the average number of available homes is down by almost 30% from this same time period last year and yet sales are up 15%, so if you have been considering selling your property, this would be a good time to explore that option. Buyer demand remains strong, inventory remains low and values are inching up.

Let’s look briefly at the new build market of Maricopa which has increasingly become a large component of this real estate market if only because of the low inventory of resale homes. Currently there are 64 new build subdivision homes listed on the MLS at an average of $115.29 per square foot (an average of which is skewed upwards because of the Province spec homes). 37 new build homes are currently under contract, and since the first of the year, the MLS reports only 34 new build homes have sold. Now we all know this number to be wrong considering that developers do not list or close all of their properties on the MLS, however these numbers do give you an idea of the current strength of the new build market. For those of you looking to purchase, the better value is usually found in the resale market however with the new floor plans and warranties, newly constructed homes also have some nice benefits, so get with a local Realtor, explore your options, sharpen your pencil and find the perfect home at the right price. In the next update, we will take a closer look at the sell through in the subdivisions of Maricopa and where the bulk of the current demand is. If you would like more specific information on your home or neighborhood, call or email me any time. Have another great week.

No Comments

Maricopa Residential Market Update May 19, 2017

Well the number of available homes has remained consistent throughout the last 5 months, and consistently below the level of demand. 284 subdivision homes are once again available on the MLS, listed at an average of $100.98 per square foot. 261 homes are currently under contract pending close of escrow, and it was another good two weeks in sales as 86 homes sold over that time period, selling at an average of $91.67 per square foot bringing our YTD numbers now to 657 homes sold at an average of $91.31 per square foot. Note the YTD average sold price per square foot now has topped the $90 mark for the first time in over ten years, no doubt as a function of the supply/demand imbalance.

So let’s take a quick look at how April 2017 did against April 2016 and then a look at how the first 120 days of the year compare with last year’s results. As expected, all current market data are on positive trajectories and more importantly sustainable trajectories in my opinion. For the year, sales are up however we did realize a slight decline in April 2017 with just 151 subdivision homes sold versus the 156 homes sold in April 2016, a 3.2% decline. However the average sold price of a single family residence in Maricopa for the month of April was up 10% over April 2016 to $191,331; total market dollar volume was up almost 7% to $30.3 million; days on market dropped 17% and all of this activity was driven by a 32% average drop in the number of available homes. The average number of available homes last year listed on the MLS hovered around the 450 mark. This year, the average hovers around the 300 mark, yet demand is as strong as ever so we are on the cusp of a housing shortage if these dynamics stay the same.

YTD the market is on an impressive course. Subdivision homes sales are over 12% to 562 homes sold (through April 2017), versus the 500 homes sold through April 2016. The average sold price of a single family residence is up almost 8% to $186,352, total market dollar volume is up almost 22% to $110.5 million, and average days on market is down almost 7%, so trend lines are strong and market activity has been very consistent through the first 4 months of 2017. Where are the buyers coming from? 17% of all YTD sales have been cash purchases, 48% of all YTD sales were purchased using a conventional loan, 24% were purchased using FHA loans, and 11% were purchased using VA loans. Historically, and by that I mean over the last 8 years, FHA and VA loans dominated the Maricopa market yet we see this year that conventional loans have taken the lead and this is primarily due to the Pathway to Purchase down payment assistance program which was widely used in this market however funds for that program have dried up so we may see those percentages change a bit as we get deeper in the year. If you would like a more detailed analysis of your home and neighborhood, please email or call any time. Have another great week.

No Comments

Maricopa Market Update May 3, 2017

Maricopa Residential Market Update May 3, 2017: Well to give you a good idea as to the current state of the Maricopa Residential Real Estate market, there are more homes currently under contract than are available. 267 subdivision homes are listed on MLS at an average of $100.74 per square foot and 271 homes are currently under contract. Essentially this means that there is less than a 45 day supply of homes based on current demand, and constitutes an unbalanced market. Fortunately, new builders are absorbing much of the over flow and not all of their homes make it to the MLS, so there is that component. Sales as you can expect have been strong over the last two weeks with 84 homes closing escrow in that time period, selling at an average of $93.30 per square foot, bringing our YTD numbers now to 572 homes sold at an average of $91.05 per square foot. By comparison, through the same time period last year 496 homes has sold at an average of $86.15 per square foot, so the Maricopa market is currently tracking up 15% in terms of homes sold and just under 6% in the average sold price per square foot.

So let’s take a look at current availability and sell through by price point since January 1, 2017:

– Homes at or under $150K – 6 currently available; 35 under contract; 70 sold

– Homes between $150K – $200K – 105 currently available; 140 under contract; 292 sold

– Homes between $200K – $250K – 98 currently available; 62 under contract; 108 sold

– Homes between $250K and $300K – 34 currently available; 26 under contract; 22 sold

– Homes over $300K – 24 currently available; 10 under contract; 16 sold

Sell through is overall strong but the numbers suggest that buyer demand in Maricopa under the $200K price point is as strong as ever. If you would like a more specific market analysis for your home or neighborhood, call or email me any time. Have another great week.

1 Comment

Maricopa Market Update April 15, 2017

The supply of homes in the Maricopa residential market continues to lag behind demand with just 276 subdivision homes currently available on the MLS, listed at an average of $101.89 per square foot. 264 homes are currently under contract and it was just an average week in sales over the last couple of weeks with just 58 homes closing escrow over that period, selling at an average of $95.67 per square foot and bringing our YTD numbers now to 463 homes sold at an average of $90.28 per square foot. By comparison through the same time period last year 394 homes had sold at an average of $86.59 per square foot, so the market is currently tracking up 17.5% in terms of homes sold, and 4.2% in terms of the average sold price per square foot. Based on current demand there is less than a 45 day supply of homes in Maricopa. Two other benchmarks to take note of; the first is the listing price average of now over the $100 mark, of course this is the first week that has happened in 10 years so next week we will see if it is becoming a trend; and the other is the average sold price per square foot which this week tops the $90 mark, which again is the first time we have seen that in over 10 years. We will have to keep an eye on those averages.

So how did March 2017 fare? The short answer is very good. The average sold price of a single family home in Maricopa increased by nearly 6% to $185,067, the number of single family homes sold increased by over 23% to 199 homes sold this March compared to the 161 homes sold in March of 2016. The total dollar volume of activity increased by over 33% to $39.2 million, and conventional loans led the pack. Over 50% of all purchases in March were purchased using a conventional loan, which is a little unusual for Maricopa. Typically FHA and VA loans lead the pack in this market but those two loans lagged well behind this last March coming in at just 21% and 9% respectively, with the remaining 19% of the market using cash. On another exciting note from a company standpoint, The Maricopa Real Estate Company had our largest month ever with 83 homes sold and I want to thank each and everyone of our outstanding agents for their devotion to their career and their dedication to helping the people of Maricopa handle their real estate concerns. If we can ever be of help, just call or shoot us an email, we will be in touch soon, Have another great week.

No Comments

Maricopa Residential Market Update April 1, 2017

The average number of available homes is still down 30% to 40% from last year with just 282 homes now available on the MLS, listed at an average of $100.66 per square foot. 228 homes are currently under contract and it was another strong two weeks of sales as 90 homes closed escrow over that period, selling at an average of $91.36 per square foot and bringing our YTD numbers now to 403 homes sold at an average of $89.38 per square foot. By comparison, through the same time period last year 336 homes had sold at an average of $86.37 per square foot, so the residential market in Maricopa is currently tracking up nearly 20% in terms of homes sold and 3.4% in the average sold price per square foot. March was again a strong month in terms of sales and I will have more on that in the next update.

So let’s take a look at sell through by price point for the Q1 of 2017. Of the 403 homes sold YTD, 80 of those homes, or 20%, were sold at $150,000 or less; 145 homes, or 36% of all homes sold, were sold between the price points of $150K and $175K; 74 homes, or 18% of all homes sold were sold between the price points of $175K and $200K; 50 homes, or 12% of all homes sold were sold between the price points of $200K and $225K; 26 homes, or 6% of all homes sold were sold between the price points of $225K and $250K; 17 homes, or 4% of all homes sold were sold between the price points of $250K and $300K; and just 11 homes, or 3% of all homes sold were sold above the $300K price point. I think the take away here is that the vast majority of demand in Maricopa is at or under the $200K price point as 74% of all sales for Q1 were in that category. If you would like a more detailed analysis of your particular property, call or email us any time and have another great week.

No Comments

Maricopa Market Update March 4, 2017

Just 257 subdivision homes are available on the MLS in Maricopa which is just over half the amount of homes available at this same time last year, which boasted nearly 500 homes available. 234 homes are currently under contract and 70 homes sold over the last two weeks, selling at an average of $90.08 per square foot and bringing our YTD numbers now to 224 homes sold at an average of $88.01 per square foot. By comparison through the same time period last year 201 homes had sold at an average of $85.82 per square foot, so the market is tracking up 11.4% in terms of homes sold and just over 2% in the average sold price per square foot. The very real dilemma the Maricopa market finds itself in is a lack of available homes. Once you take away the 37 new builds listed on the MLS and the 57 homes in the 55+ Province subdivision, there is just 163 resale subdivision homes available, a 10 year low and just about a 45 day supply of homes based on current demand. Sellers take note, this would be a very good time to put your home on the market if you have been considering selling.

The dust has yet to settle on February 2017 and once it does I will give a full update, but early results are that the market realized a 10% increase in homes sold and approximately a 5% increase in the average sold price per square foot…
Read more

No Comments

Maricopa Market Update February 18, 2017

The number of available homes is at a 2 year low with just 266 subdivision homes currently active on the MLS listed at an average of $99.29 per square foot. To put that into perspective the average number of available homes throughout February 2016 was 503, so we are currently tracking at just a little over half of that inventory level. 232 homes are currently under contract, and just 38 homes have sold in the last two weeks, selling at an average of $88.47 per square foot and bringing our YTD number now to 150 homes sold at an average of $86.80 per square foot. By comparison through the same time period last year, 120 homes had sold at an average of $86.78 per square foot, so the market is flat lining in value but tracking up 25% in terms of homes sold. Also considering the 232 homes that have gone under contract within the last 45 days and the current availability of just 266 homes, there is less than a 60 day supply of homes based on current housing demand. Sellers take note.

So let’s take a quick look at January, which historically is the one of the slowest months of the year. 103 subdivision homes were sold in January 2017 which is a 14% increase over January 2016 sales of 90 homes, and a 24% increase over January 2015 sales of 83 homes and January 2014 sales of 85, so January 2017 is out of the gate strong and in my opinion is a harbinger of what promises to be a strong 2017 in terms of residential real estate in Maricopa.
Read more

No Comments

Maricopa Market Update January 28, 2017

The number of available subdivision homes does not move much again this week as 305 homes are once again active on the MLS, listed at an average of $98.44 per square foot. 170 homes are currently under contract pending close of escrow and since the first of the year 83 homes have sold, selling at an average of $85.27 per square foot. By comparison through the same time period last year just 69 homes had sold selling at an average of $84.82 per square foot. Historically, January has most always been the slowest month of the year. January 2015 saw just 83 subdivision home sales, which sold back then at an average of $76.49 per square foot, and January 2016 saw just 90 subdivision homes sell for the month, selling at an average of $86.90 per square foot. Contrast that with the strongest month of the year last year, which was June with 183 home sales at an average of $86.67.

So let’s take a quick look at four categories of homes in terms of current availability and sell through over the last 6 months to get a sense of supply. The four categories will be single stories with and without pools, and two stories with and without pools.
Read more