Join Ian as he covers the Arizona Property STAT Update for August

 

Video Transcript:

Hi everyone. This is Ian with The Kay-Grant Group. Today, we're going to be covering the August through September property STAT update here in Arizona. We're going to be talking about what our current available inventory is, what are the home prices, and also we're going to be covering kind of what we've been trending towards, and it's actually kind of good thing. So let's go ahead and jump on in.

Something to bear in mind as we're looking at total inventory, this is kind of dated because the official property stats don't come back until about the 22nd to the 25th of the following month, but anyways, moving on. Right now, the total available inventory in Phoenix Metro area is 10,118, which represents a 5.4% increase for a month over month, which is great. However, we are still struggling to recover for year over year comparison, which is almost a 30% decrease.

While we're looking at the monthly sales trends, even though the trends seem to be pretty radically different than they were for the previous year, they're kind of static when we're looking at it for a month over month, when we look at it as a whole, about a 1.2% down. For year over year, it's 3%. Once again, this is actually a good thing because we're starting to claw our way back to normalcy.

Now, while we're looking at new inventory, this includes pretty much everything but not apartments. This is pretty much your townhomes, your detached homes and your condos. New inventory was 9,908, which is a very marginal increase on the month over month, as you can see, and year over year, it's just slightly up by 0.8%. Now, let's go ahead and see how fast these properties are still flying off the market.

Right now, we're looking at 29 days is the average that we're seeing reported from August, but actually reflects an increase by one day because the prior month is 28. So once again, clawing in the right direction to normalcy, and just for a recap, a typical time on market average is going to be anywhere between 50 and 60 days or two months. Let's go ahead and move on to the next one.

What we all really want to know, where is the average sales price hovering at? Good news is, is that we're actually starting to trend level or just slightly down, which is kind of where we've been saying that it's been heading for months now, but it seems that we've finally have hit that tipping point. Now, we're going to see an absolute nose dive as properties start to come back on the market, absolutely not. We might see a slight downward trend or it's going to remain steady through the remainder of the year. Though, we are seeing trends that will limit up to people rushing here for the final quarter of this year and that's due to historical averages.

All right. Let's give you a little bit more of a accurate reflection of what's available on the market as of September 29th, 2021. Right now, we're showing 7,242 active properties in the Phoenix Metro area, which reflects a 4% increase from August, which is good news. Once again, it's very slowly trending up, but it is trending up. We once again, do not see any trends towards any major upsets, although this might marginally go down going into Q4.

Other than that, it is absolutely still a seller's market. So if you're looking to sell, selling now is probably going to be the most you're going to get for your property before we start trending it to a normal inflation rates for value of 2 to 4%. I would definitely jump on the market because we do expect there to be an increase for demand in Q4, but we're going to see that start dropping off about March of next year. Until then, if you need a hand with that or if you're also looking for help to buy, feel free to give us a call and we'll be more than happy to help you out.