As we’ve been discussing on LUXE BLOG, inventory is rising in the Greater Phoenix area at the second fastest pace in history. With that said, it’s still at a FAR LOWER rate than the fastest period. To be more specific, active listings across ‘The Valley’ have increased by 35% since July. In comparison, back in July of 2005, listings increased by approx. 80% in the same amount of time. When it comes to Scottsdale, we have put together some of the latest stats.
* Note, data is from late October 2023
Also Read: What Is The Cost Of Living In Scottsdale?
Scottsdale was one of the mid-level performers in the Greater Phoenix area in the month of October. As of early October, Scottdale’s CMI was around 160. The CMI, a number we use to indicate how a market is doing had fallen by roughly 9% month over month. In comparison, the CMI of the city of Chandler fell nearly 30% in the same period. Scottsdale is one of those cities that typically hangs in there the best. And there are many reasons why. Soon, we will be doing a NEW analysis of Scottsdale’s CMI (month over month).
The real estate terrain is ever-shifting, with terms like “seller’s market” and “buyer’s market” often tossed around. Yet, the concept of a balanced market is less frequently discussed. A balanced market signifies an equilibrium between buyer demand and the number of homes for sale, independent of price levels. Let’s break down what makes a market balanced and the implications for prices.
A balanced market is a middle ground – a sign of stability in the real estate world.
The current trend of increasing active listings without a corresponding jump in new listings suggests a shift towards balance. Demand is tapering off, not because fewer homes are coming to the market, but because they are being absorbed at a slower pace.
In a balanced market, price movements tend to mirror inflation rates.
We’re moving from the frenzied appreciation of a seller’s market to a more moderated pace. Although last year hinted at a buyer’s market with negative appreciation, the current balanced state suggests a return to normalcy. Experts still expect home values to increase at a healthy rate. We shall see.
What can buyers and sellers expect in a market that’s balanced?
Sellers are now more likely to adjust prices to entice buyers. This is a departure from the days when bidding wars drove prices up. This leveling out signifies a stabilizing market. And offers a POTENTIALLY more predictable environment for real estate transactions.
With great communities such as Silverleaf, DC Ranch, Gainey Ranch, Troon, Old Town, Kierland, and many others, Scottsdale is still a sought-after market. From luxury condos in projects such as Optima Camelview Village and ICON to waterfront properties in McCormick Ranch, there’s MUCH to love. Future projects could include the FENDI Private Residences, The Parque, and Optima McDowell Mountain Village. Also, sales continue to go well for Portico.
With over 150 years of combined experience, Williams Luxury Homes is a boutique brokerage based out of Scottsdale. We have a DIFFERENT way of doing things around here. We hand-select every agent and broker for our firm based on many factors. We know how important it is in today’s market to EMPOWER our clients. How do we do it? Experience. Passion. Connections. And instinct. Our agents and brokers are HAND PICKED. Thinking of moving? You can browse Scottsdale homes for sale here. If you have any questions, feel free to reach out. From the latest comps to our unfiltered opinion, we will tell you how we feel about certain projects and areas. And of course individual listings. Thanks for reading LUXE BLOG.