By Joseph Callaway
According to the Arizona Multiple Listing Service, in 85254, there were 73 single family homes that sold in September 2021. The average sales price was $886,821 with an average price per square foot of $362.11. Single family homes took an average of 26 days on the market to sell.
Arizona Multiple Listing Service also reports that there were 20 condos and townhomes sold in September 2021. The average sales price was $523,301 with an average price per square foot of $393.93. Condos and townhomes took an average of 59 days on the market to sell.
Rentals were on fire in September 2021. Rates ranged from a low of $1.03 per square foot up to a high of $3.87, with an average price per square foot of $1.95. In other words, a 2,000 square foot home went for an average of $3,900 a month.
The big story is percentage of homes that sold over list price. In March 2021, 50% of sold homes went for over list price. In September 2021, the percentage of homes that sold for over list price dropped to 43%. This may be an early sign of softening in the market.
The reason for this buying frenzy is not that there are more buyers than usual. It is because so few homes are for sale. Will this situation change? Yes, the market always changes, but the real question is when and in what way. It is difficult to imagine a further tightening of supply but far easier to predict more homes coming to market. Mortgage rates will probably rise. With the implementation of the vaccine, COVID-19 restrictions are lifting, giving many people an opportunity to now make a move that they were putting off.
One thing is certain: the market will change gradually, and our realization of that change will come suddenly. That is the adventure.
Joseph Callaway is co-owner of Those Callaways, an independent brokerage operating in 85254 for 25 years. For additional information, visit ThoseCallaways.com or call 480-596-5751.