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Weekly Recap and Forecast.
Here are the stats for Corte Bella for the week of 8/29 – 9/04:
Active For Sale – 17 properties
Coming Soon – 1 property
Under Contract Contingent on Buyer Sale – 5 properties
Pending – 4 properties
Sold properties – 6 properties (August)
Shhhhh! What was that? Oh, that was a pin dropping in the Phoenix housing market. Yes, the market has slowed to a crawl. Last month in Maricopa County:
There were 1,635 new construction homes closed with a median price of $513,890. The unit count is up 7.6% from August 2021 and the median sales price is up 22%.
There were only 5,784 re-sales closed with a median price of $450,000. The unit count is down a massive 38% from August 2021 and the median sales price is up slightly less than 10%.
Overall, there were 7,419 closings with a median price of $466,990. The unit count is down 32% and the median price is up 13.5%.
Closings were relatively strong in new homes which comprised 22% of all closings in August, up from 14% a year ago. The new home median is slightly lower than last month but not significantly so. These prices were set many months ago when contracts were signed under much more favorable market conditions.
In the re-sale market prices are set much closer to closing and the median price is therefore much weaker, having dropped 7.4% since peaking in May. At $450,000 the median price for re-sales is back where it was in February of this year. The closing count is the weakest monthly total since January 2016.
The big bugaboo is two-fold. First, anytime there is a market as crazy as we had the past two years there will come a point where buyer momentum weakens and the market, in the best case, returns to a more “normal” state or, in the worst case, collapses like we had in 2008-2009. We are experiencing the former, not the latter.
Second, interest rates continue to rise. Mortgage rates on a median priced home in Phoenix area ($450,000) to a highly qualified buyer with 20% down and 0 buy-down points are 6.22% +/- (up from 5.0% in one month). The one month increase of 1.22% equates to an increased payment of $277.00/mo. ($2,209.56 - $1,932.55 = $277.00/mo.) which is big deal in the $450,000 price point. The stronger than expected jobs reports resulted in bonds selling off and rates rising. However, much of the job growth was part-time, low pay jobs.
* Source: Mortgage News Daily.
TAKEAWAY -- The takeaway from last week’s performance shows some improvement in prices per square foot (psf) but a steep decline in re-sale closings. The weekly Mojo Report is below:
Inventory levels are down (+)
Demand is down (-)
Mortgage rates are up (+)
Weekly Market Mojo (-)
(+) = A positive for the market as a whole.
(-) = A negative for the market as a whole.
(#) = Meh. Neither good nor bad for the market as a whole.
I am an optimist (most of the time) but this week, putting lipstick on this pig doesn’t change the fact that it is still a pig. My Market Mojo is down and expecting worse.
Have a great week!
I am a year-round Corte Bella resident and I put 100% of my effort into Corte Bella sales transactions although occasionally, I will assist my sales clients relocating to another area in Arizona. As the market changes it is important you have clear picture of the value of your home should you decide to sell. No one knows Corte Bella than I do. I sell Premier Properties with Premier Service.
The information contained herein is believed to be accurate however you are encouraged to confirm this information before relying upon it.
ACTIVE LISTINGS AS OF 09/04/22
22516 N San Ramon Dr., Quinta Model, 1,283/sf., 2/2, GC Lo
12812 W Junipero Dr., Arcada Model, 1,660/sf., 2/2, vacant - $475,000
22027 N Arrellaga Dr. – Arcada Model, 1,6854/sf, 2/2 + Den - $497,500
12948 W Micheltorena Dr., San Ysidro Model, 1,811/sf., 2/2 - $535,000
13432 W Los Bancos Dr., Encanto Model, 2,095/sf., 2/2 Plus Den, Corner lot - $599,750
12959 W. Rincon Dr., San Marco Model, 1,904/sf., 3/2 - $600,000
23307 N De La Guerra Ct., Arcada Model, 1,684/sf., 2/2, Pool - $615,000
22823 N Los Gatos Dr., Encanto Model, 2,095/sf., 3/2, Casita - $619,900
23903 N Las Positas Dr., San Marco Model, 2/2, 1,904/sf., GC Lot - $635,000
12826 W Rincon Ct., Encanto Model, 2/2, 2,143/sf., 3-Car garage, Casita - $649,000*
22207 N Montecito Ave., Cambria Model, 2,423/sf., 3/2, Pool - $649,900**
12853 W Junipero Dr., San Ysidro Model, 1,837/sf., 2/2 - $699,900
22002 N Valerio Dr., Figueroa Model, 2,785/sf., 2/2, Spa, GC Lot $799,000
23109 N Hank Ramon Dr., Figueroa Model, 2,840/sf., 3/3.5, Casita, GC Lot - $800,0000
13417 W La Vina Dr., Cambria Model, 2,470/sf., 3/2, Pool - $800,000
23023 N Pedregosa Dr., Mirada Model, 2,593/sf., 2/2.5, 3-car garage, Pool - $849,000
22111 N Giovota Dr., Mirada Model, 2,840/sf., 3/2.5, Casita, GC Lot - $888,000
* New listing this week
** Price reduction
*** Temporarily off market
COMING SOON
22108 San Ramon Dr., Figueroa Model, 2,784/sf, 3/3, 3-car garage, Pool, GC Lot - $949,000
UNDER CONTACT ACCEPTING BACKUPS
None.
UNDER CONTRACT CONTINGENT ON BUYER SALE
13510 Nogales Dr., Arcada Model, 1,684/sf., Private lot - $505,000
12750 W Nogales Dr., San Marco Model, 2,151/sf., 3/3, Casita, Fire Pit - $599,000
13005 W Panchita Dr., Cambria Model, 2,690/sf., 3/2, Casita - $699,995
22931 N. Padaro Dr., Encanto Model, 2,095/sf., 3/2, Casita - $725,999
23215 N Cardenas Dr., Mirada Model, 2,805/sf., 3/3.5, Casita, Putting Green - $729,950
PENDING LISTINGS
22425 N Los Gatos Dr., Quinta Model, 1,283/sf., 2/1.75, Corner Lot - $409,000
23134 N Loreto Dr., San Marco Model, 1,904/sf., 2/2 - $574,900
22718 N San Ramon Dr., Arcada Model, 1,684/sf., 2/2, GC Lot, Pool - $625,000
13232 W Los Bancos, Figueroa Model, 2,784/sf., 2/2.5, 3 car garage - $795,000
SOLD LISTINGS (08/01/22 – 08/21/22)
13105 W Junipero Dr. Arcada Model, 1,684/sf., 2/2 - $489,900
22713 N Pico Dr., Arcada Model, 1,636/sf., 2/2, Remodeled - $519,000
12847 W Panchita Dr., Alameda Model, 2,726/sf., 3/2.5 - $690,000
13307 W Rincon Dr., Figueroa Model, 2,784/sf., 2/2.5, GC Lot, Pool - $897,000
22410 N Del Monte Ct., Mirada Model, 2,559/sf, 3/2.5, GC Lot, Water - $875,000
12832 W Rincon Ct., Cambria Model, 2,470/sf., 2/2, Pool – $765,000
I may not be the listing agent on the above properties. If you or someone you know is interested in touring one of these properties, I would be happy to arrange a showing.
Opmerkingen