Good News goes to the Buyers this time! Number of sales are down about 14% while inventory is up around 14% (year over year). With more inventory, and fewer buyers – that makes for some good negotiating opportunities. We are starting to see seller paid closing costs again, and more repairs being agreed to by the seller before close of escrow.
The lower priced homes are still getting sold quickly, especially if the home is in good condition. Most buyers will pay premium for a home that is move-in ready. Keep that in mind if you are preparing to ready your home for sale.
OK – a little good news for my sellers – Foreclosures continue to dwindle, and now make up just a small % of the inventory for sale. The same holds true with Short Sales. Therefore, the competition for sellers is now New Construction and your neighbor’s homes.
More good news – Even with more inventory – prices are holding steady. We’ve had a really strong appreciation growth over the last 24 months – Holding steady is not that bad of a thing.
The buyers will jump off the fence soon. Rates are still excellent and in many cases, a mortgage payment on the same house is less than the rent would cost. I am looking forward to a good sales year in 2014!!
(all information here is for the metro Phoenix area)