The Phoenix Metro area real estate market has seen an increase of 2,000 listings or 10% this month in active homes for sale. When we break down this number into sale types - 91% Equity sellers, 4.4% Short Sales, 4.6% REOs, we see the market is showing signs of recovery! Historically when we look at market statistics, a 97% mark of equity sellers determines a healthy market with 3% distressed properties (short sales, REOs and HUD homes).
See Homes For Sale in Mesa With Pools
This does not mean that there aren't a great number of distressed properties out there. We estimate roughly 30-40% of home owners are still underwater and potential short sale candidates but this number also represents the number of people who have made the financial decision to wait out the market and sell when their home's value comes back up. These people are able to continue to pay their house payments and will continue to pay unless something unexpected happens to change their situation.
The inventory levels have grown in the marketplace 25% over the last four months. This growth in inventory is due to reduced demand and a decrease of investor buyers in the marketplace. The typical buyer has had a couple things happen over the last month or so to cause them to take a step back and hesitate. Mortgage rates have increased overall which has caused the buying power to drop in the marketplace. Rates have stepped down over the last week but due to the shut down, we expect them to be around .375% higher this week. The government shut down has also caused a little uncertainty in the national economic outlook. Locally, we are still able to fund and close loans and are still selling and buying houses. The shutdown has had an effect on how Lenders process their files with SSA verifications and IRS income verifications which is the reason for the increase in rates.
The Up Side is that rates are STILL at unbelievable lows, home prices have slowed which is keeping home buying a more affordable option compared to renting and this is STILL a Great Time to Buy a Home or Sell a House in Mesa!
Look at Homes For Sale in Mesa With Pools for free online here.
See Homes For Sale in Mesa With Pools
This does not mean that there aren't a great number of distressed properties out there. We estimate roughly 30-40% of home owners are still underwater and potential short sale candidates but this number also represents the number of people who have made the financial decision to wait out the market and sell when their home's value comes back up. These people are able to continue to pay their house payments and will continue to pay unless something unexpected happens to change their situation.
The inventory levels have grown in the marketplace 25% over the last four months. This growth in inventory is due to reduced demand and a decrease of investor buyers in the marketplace. The typical buyer has had a couple things happen over the last month or so to cause them to take a step back and hesitate. Mortgage rates have increased overall which has caused the buying power to drop in the marketplace. Rates have stepped down over the last week but due to the shut down, we expect them to be around .375% higher this week. The government shut down has also caused a little uncertainty in the national economic outlook. Locally, we are still able to fund and close loans and are still selling and buying houses. The shutdown has had an effect on how Lenders process their files with SSA verifications and IRS income verifications which is the reason for the increase in rates.
The Up Side is that rates are STILL at unbelievable lows, home prices have slowed which is keeping home buying a more affordable option compared to renting and this is STILL a Great Time to Buy a Home or Sell a House in Mesa!
Look at Homes For Sale in Mesa With Pools for free online here.
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