Typically, the real estate market experiences a lull as colder weather sets in and many look forward to being home for the holidays. We didn’t experience this cool down last year, as COVID-19 set in and disrupted the real estate market’s usual seasonal trends. So, as home sales have decreased across many markets, this is the first typical fall market we have seen in two years.
While there are fewer homebuyers this time of year, there aren’t many active listings to choose from either, thus competition remains high. It’s safe to say this seller’s market is here to stay through the new year. However, many markets are seeing homes sell for list price, rather than thousands over it.
This fall, home prices have continued to increase in the single digits. This is a welcome change from double digit increases earlier this year. It’s important for sellers to consider their list price carefully to avoid a price decrease once on the market. But, by considering older listings, struggling home buyers can have more options to choose from.
All stats below are based on End of Month in September vs October:
Phoenix Housing Market
Supply and Demand: In October, there were 6 weeks worth of housing inventory available, the same amount we saw in September.
Median days on the market – In October houses spent an average of 6 days on the market, the same amount we saw in September.
New homes on the market – In October, there were 10,058 new homes on the market, a 2.5% decrease from the 10,314 new homes we saw in September.
Homes sold – In October 8,803 homes sold, a 6% decrease from September’s 9,378 homes sold.
The Phoenix real estate market remains one of the hottest markets in the country. In October, both new and active listings decreased, making this a challenging time to buy a home. Not to mention, Phoenix buyers hoping to purchase a primary residence are also competing with investors, and iBuyers for limited listings. Single family homes sold for an average of $536,000 in October. Home values will likely continue to rise through the end of the year, as homes were selling for 3% under list price in September of 2020, now homes sell for an average of 3.5% over list price.
Tucson Housing Market
Tucson continues to mirror the Phoenix real estate market and see a high level of competition between buyers. Typically homes are on the market for less than 12 days. Median list price reached $362,990 in October, up from $318,000 in October 2020. A popular destination for vacation homes and retirees, buyers have to move quickly in this area.
As we approach fall and the weather cools across the country, the real estate market shows signs of cooling iFall has offered some consistency in the real estate market for buyers and sellers. While new listings have decreased in most areas, days on market and supply have remained steady. October continued to see a strong sellers market, but fewer homes are seeing bidding wars. With that, fewer homes are selling for over list price. However, home values have increased dramatically across the country in 2021, and will likely continue to do so through the end of the year. Keep this in mind as you work with a real estate agent to price your home. Consider a comparative market analysis from an agent you trust to start the selling process.
Here are a few blogs that might help you as a seller:
- How Much Commission Does a Realtor Make?
- How Much Do Appraisals Cost?
- Expenses You Can Deduct When Selling a Home
Fall has brought with it cooler temperatures and some favorable trends for home buyers. While inventory has While the enthusiasm of buyers who’ve been in the market for months may be fading, there are still eager, new buyers entering the market. The number of new listings has decreased in most markets, as sellers typically opt not to move during the colder months. Thus, there is increased competition over the remaining buyers in the market for a new home. In some areas, October saw ten to fifteen showings per active listing. As 2021 as shown so far, it’s incredibly important to be prepared with financing, and act quickly once you find a home that meets your criteria.
Here are a few blogs that might help you as a buyer:
- How Often Do Contingent Offers Fall Through?
- Types of Houses: What’s the Difference?
- Buying a Second Home for Investment
Please note, if you buy with us, we split our buyer’s agent commission with you and give you back up to $6,000, and if you sell And remember, sell with Trelora and get best in class customer service from a team of experts. Plus, if you sell with us, we give you comprehensive, expert service for a low flat fee. And keep in mind, especially if you’re moving or you have friends in other states, that Trelora can help you in Atlanta, Charleston, Charlotte, Denver, Phoenix, Raleigh, Sacramento Seattle and Tucson. In the meantime, please stay healthy and safe.
Brock Embree joined Trelora in 2017. In 2018, he was part of the founding team that opened Trelora’s Seattle, Washington office, their first expansion beyond Colorado. In 2020, he repeated the process, opening yet another new market for Trelora in Arizona. His team has closed over 200 deals in Phoenix and has expanded to serve Tucson in addition to their growing customer base in Phoenix.