At the end of 2012, the average home price in Phoenix was $164,000. In 2011, the average home price was $122,500.
There are two reasons for the climb in home prices:
1 – Lender-sold homes sell for less money
2 – Between 2011 and 2012, foreclosures dropped 51 percent.
According to a report by the W.P Carey School of Business at Arizona State University, the supply of houses available also dropped six percent.
ASU’s Center for Real Estate Theory and Practice Director Mike Orr said short sales and foreclosures have dropped, which has decreased the sources for many inexpensive homes. He said this has led to more expensive transactions like new home sales and the usual resales.
Orr said home purchases by investors in the city dropped in the fall as prices increased rapidly. In late 2012, 36 percent of the home sales in Phoenix were cash deals. In comparison, during early 2012, about 50 percent of the transactions made were cash deals. The majority of cash transactions are investors.
Call me at (602) 791-0536 to schedule an appointment to view homes in Scottsdale or Phoenix. Whether you are looking for golf homes in Scottsdale or condos in Phoenix, I would be happy to show you any properties that interest you.
Carmen Brodeur JD
Trillium Properties, LLC
9825 E Bell Road, Suite 120, Scottsdale AZ 85260