Home News What July drop in Phoenix home prices means for buyers, homeowners

What July drop in Phoenix home prices means for buyers, homeowners

by admin
0 comment

PHOENIX – The once-hot metro Phoenix housing market is cooling, according to real estate experts.

Zillow released a report Thursday showing typical home prices in Metro Phoenix fell 2.8% from June to July, with an average price of $470,800.

Nicole Bachaud, senior economist at Zillow, said: KTAR News 92.3 FM This change represents a drop of about $1,400.

A nationwide drop of 0.1% to $357,107, just a few hundred dollars in losses.

Bashaw said Valley homeowners shouldn’t worry, given how much value their properties have gained during the downturn in the market. hottest in the country.

“It’s important to keep in mind the context of how highly rated homes have been over the last two to three years,” she said.

Despite the July drop, Phoenix-area home values ​​are nearly 70% higher than they were in July 2019, according to Zillow. And as prices and interest rates have risen, typical mortgage payments have doubled in the meantime.

“This year alone, home prices in Phoenix are up 8%. …We have a very fast market and we are trying to rebalance and get back to normal,” Bachaw said.

“And that’s what we’re seeing right now, kind of leveling off.”

This transition should make things easier for potential homebuyers who can afford to enter the market.

Zillow reports that Valley inventory increased 11.3% from June to July, while 28.8% of listed homes saw price drops.

“We have more options. We have more vacant homes. We can negotiate more easily.

“So for those looking to buy who can afford to stay in this market, it’s going to be a little easier than at any point in the last few years.”

But Bachaud said analysts don’t think current homeowners will lose much of the value they’ve gained in recent years.

“Inventory is still very low overall,” she said. “The reason stocks are rising right now is because people aren’t buying homes, homes aren’t selling and they’re staying in the market longer.

“But all in all, there is no new stock on the market and everyone wants to buy it. back to and the pressure is on again.”

Luke Forstner of KTAR News 92.3 FM contributed to this report.

we want to hear from you

Have any story ideas or tips? Pass them on to the KTAR News team here.

You may also like