More good news: Maricopa real estate market heating up
Print This Post Last week I posted about the Southern California real estate market and how it was rebounding, see: Great news for Arizona! So Cal prices didn’t drop in Feb, and now we have good news from our southern neighbors in the Phoenix area. Our home sellers in Prescott, Prescott Valley, Chino Valley, and Dewey-Humboldt rely on the real estate market to the south of us as well. Many buyers from Scottsdale, Peoria, Glendale, and other valley cities acquire second homes and investment properties in our area. Good news down south, means good news for the Prescott area as well.
Mike Cromford, in his Arizona Real Estate Market Report, on March 22nd said:
There is no doubt that we are experiencing a boom in buying across all the areas where pricing is very low. This increase is having little effect on properties above $150,000 but below that mark, and especially below $100,000, I’m tempted to call it a feeding frenzy. The effect is also largely confined to single family detached homes, with condos experiencing relatively weak buying interest.
Listing success rate across all areas and types is now over 50% – we haven’t seen that since June 2006.
Pending listings approach 11,000, a level last seen in August 2005.
Active listings are at 50,561, their lowest point since April 2007. However that total includes 1,928 active listings with contingent offers, up from 883 at the start of the year. So the increased demand is eating away at the over-supply quite nicely.
The statistics tell one aspect of the story, but personal experience reinforces it. I have made offers on several inexpensive properties in the last few weeks, for myself and on behalf of clients. In every single case there were multiple offers. In one short sale case there were as many as fourteen offers on the table at the bank before I even made an offer. In fact I have so far not managed to be the highest bidder for any of the properties. Luckily the highest bidder dropped out of one deal for lack of financing, and I was in second position, so I did come away with one signed contract. Not one of the properties has so far sold for less than the asking price, and one went for at least 50% higher.
It feels like a seller’s market in these low-priced locations, because of the spirited competition from other buyers. But luckily for the buyers, the sellers (the banks) don’t seem to have quite noticed yet, and they are still keeping prices low. Could it be the psychological pressure of the additional pending foreclosures looming over them? They may be wondering how long this buying frenzy can last. It’s a good question. But right now there is not the slightest sign of it faltering. See the original post.
If you are waiting for Godot and the “right time to buy,” then you should consider NOW.
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Thanks for your comment, Robert. I think if you read the entirety of my blog you will see that I try to post the current news and views about the market. You are welcome to post your analysis of what the market will do. My readers welcome input from all sides.
Thank you! This is just what I was looking for. Keep up the great work!
[...] How to help speed up a short sale tips [...]
Great blog post. The media will never pick up on this because it is more complicated than a soundbite.
If I may add that with the number of outstanding loans that are scheduled to reset in the next couple of years, decreasing home values and stricter lending guidelines, the rate of foreclosures are on track to peak in 2010. Short sales have become a growing niche for Real Estate Agents to sell homes before they become bank owned.
short sales | short sales education | short sales success
1/3 on the market are foreclosed or short sales – wow. It’s nice that you research this information. The agents who represent home sellers prob don’t share that info with buyers. Take care.
Dear Patrick,
Great article! I agree with you. I also would like to add couple more alternatives to those homeowners who want to stay in their homes.
There are two products those aren’t widely knowing and common in the market place. Trsutee Foreclosure Delays and Loan Re-Write.
Did you know that Homeowners are illegally being foreclosed on especially in Trustee States?
In Judicial Foreclosure states, a judge reviews the legality of the foreclosure proceedings to ensure the homeowner is being protected against greedy lenders and yet still the lenders are not properly following the foreclosure laws correctly (see this article: http://www.nytimes.com/2009/08/31/nyregion/31judge.html?_r=2).
In Trustee States, lenders employ a “third party” trustee company to replace the legal function of a judge and orchestrate the foreclosure process. If banks are not legally foreclosing when they know a judge reviews the case what do you think they are doing when they only have to go through a trustee that they pay? And what is more interesting, the trustee company is liable for the foreclosure proceedings but who is going after the trustee companies to review the legality of these foreclosure packages? You guess it! Yes, No one is..!
Did you know that a loan Re-Write program has the ability to reduce homeowner’s current loan balance down to the current market value at prime + 3%?
Here is an example: You owe $500K on your home but it is only worth $350k. Investors will bulk purchase the note from your current lender and re-write it back to you at $350k, saving you (the homeowner) over $150k!
I hope this helps!
To find out more about our services you may want to visit http://ASNDinc.com/
Yamen Elasadi
yamen@ASNDinc.com
Arizona Unemployment Trends – September 2009
Arizona Unemployment Trends Visualized as a Heat Map:
Arizona Unemployment in September 2009 (BLS data)
http://www.localetrends.com/st/az_arizona_unemployment.php?MAP_TYPE=curr_ue
versus Arizona Unemployment Levels 1 year ago
http://www.localetrends.com/st/az_arizona_unemployment.php?MAP_TYPE=m12_ue
[...] How to help speed up a short sale tips [...]
[...] How to help speed up a short sale tips [...]
This is good news… Foreclosure market needs movement to make more money and start leaving this situation
that’s good to hear. when you are experiencing foreclosure, you need the help of reliable real estate agents. when you are looking for them you may visit this site:
REALTOR
[...] How to help speed up a short sale tips [...]
[...] How to help speed up a short sale tips [...]
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Considering, finding the right foreclosure home is the most essential step involved while buying a foreclosure some research should be done ahead of time before finding the most affordable home.
[...] See: Why short sales aren’t always a good deal. [...]
[...] Considering making an offer in today’s distressed home marketplace in Prescott or Prescott Valley? See: Top 10 tips to win the REO multiple offer game. [...]
[...] Foreclosures are still cranking in the U.S [...]
[...] 31% of Phoenix area home sales are foreclosures in March down from 51% in Feb [...]
[...] How to help speed up a short sale tips [...]
[...] See: Why short sales aren’t always a good deal. [...]
[...] Considering making an offer in today’s distressed home marketplace in Prescott or Prescott Valley? See: Top 10 tips to win the REO multiple offer game. [...]
[...] See: Why short sales aren’t always a good deal. [...]
[...] Considering making an offer in today’s distressed home marketplace in Prescott or Prescott Valley? See: Top 10 tips to win the REO multiple offer game. [...]
[...] How to help speed up a short sale tips [...]
[...] How to help speed up a short sale tips [...]
[...] How to help speed up a short sale tips [...]
[...] See: Why short sales aren’t always a good deal. [...]