Today we are going to do a market analysis of Phoenix housing market 2021. Will Phoenix housing market crash again? Will housing prices drop in 2021? Should you sell your house now? What is the housing market crash predictions? Do not go anywhere and stay tune to learn more!
Welcome back to my channel this is Ivonne Bellew your real estate professional in the Phoenix metropolitan area.
Let’s start with how things have change in the last 53 weeks. We went from emptying the toilet paper out of the stores to housing becoming the new toilet paper shortage.
At the beginning of the pandemic some experts predicted a housing market, instead we had a shortage on housing inventory and as a result homes on most Phoenix areas appreciated by 45%!!!!
As of right now we are 76.3% Below normal supply. About 2,367 new listings are added per week. Total supply is up 14.5% since mid-February, still down 59% from last year.
Demand is 7.5% above normal and about 2,334 new contracts are accepted per week.
According to the Cromford report 58.5% of April sales closed over asking price in the medium price sale about $17,000 over asking price.
Here in Arizona, we can say we are in good shape 71% of Arizona jobs recovered since the pandemic start.
Labor force grew by about 11,000 and number employed grew by 12,000 YOY.
Trade, transportation, and utilities are 136% of jobs recovered according to Arizona office of economic opportunity.
Will Phoenix housing market crash? While I do not possess a magic ball we are in a market where people is placing large amounts of down payment, investors are buying cash and for above asking price to compete in this marker. Is more affordable to pay a mortgage payment than it is to rent.
We have more demand than supply, our population is growing. And homes are being occupied. To this we can also add interest rates are low and lending is tight.
Should you sell your house in 2021? If you are considering selling your home there is no reason for you to wait, this month we had an increase on inventory and while is not enough to bring a balance market, is an indication that we are going to that direction unless something changes. Right now, the seller market is still strong, and I don’t see that changing in the next 6 months. Tight inventory has made 2021 a great year to list a home.
If you are a homeowner do not expect for prices to continue rising as in the last 12 months.
So if you are considering selling your home do so while this market is hot, we have multiple buyers interested in your home no matter what market you are in, because even the luxury market is HOT!
I would love the opportunity to be your real estate professional even in this market you need a skilled real estate agent! Contact me for a detailed market analysis of your property at 602-2289050 or make an appointment on the calendar link on the description.
In 2021, mortgage rates are expected to stop dropping. Rather, the National Association of Realtors expects rates to average 3.1% and the Mortgage Bankers Association says mortgage rates will average 3.3% in 2021. … Strong growth is expected in 2021 for housing sales, rents, and home prices.
In 2021 housing market there aren’t enough homes for increasing demand. Buyers are willing to pay cash on top of tens of thousands of dollars above the asking price. And that’s a problem that may get worse as home prices will continue to go up through the end of this year and possibly into 2022
Thank you for watching God bless you I will see you soon!