Statistically speaking, Greater Phoenix’s real estate market witnessed quite an interesting month of December. As we head into the new year, the Cromford Market Index (which measures market conditions) improved in 15 out of the 17 cities measured. This is one of the strongest months since the correction began in April 2022.
In December, there was a 48% increase in the number of properties inputted into the MLS under Coming Soon status. Coming Soon allows sellers to test the market without their home becoming an ACTIVE LISTING on the MLS. Coming Soons are very popular during the holidays due to sellers not wanting traffic in their homes while they have family and friends visiting. Even with that said, this is a LARGE number of Coming Soons of which many will inevitably end up on the MLS in Q1 2023.
Despite the huge number of Coming Soons (+48%), December 2022 is on pace to see the lowest number of resale listings since December 2005! That is very strange actually. Best way for us to describe this is a ‘real estate standoff’. If one looks hard enough, they can find data which supports both sellers AND buyers.
As of late December, there we approx. 17,300 resale listings on the MLS. This is opposed to just over 20,000 in October 2022. Bottom line is this, while we’re just looking at Greater Phoenix, the Arizona real estate market is definitely evolving.
Overall, it seems that the market in Greater Phoenix is experiencing a mix of both positive and negative trends. With interest rates currently being around 6% mark, people are buying more than when they were 7%. Is there more pain to come? Only time will tell.
Using data from Cromford Report, a leading real estate statistics company, 15 of the 17 cities measured in Greater Phoenix saw improvement month over month. This is the most improvement we have seen in a looooooong time. As of right now four cities were ‘sellers markets’, four were balanced, and 9 were considered ‘buyers markets’.
With all of the above said, we’re not here to say all is jolly. Who knows what will happen in 2023? Anyone who claims they can predict what’s going on is wild. What we CAN say is that whether it’s a piece of real estate in Paradise Valley, Scottsdale, Arcadia, Cave Creek, Phoenix, Tempe, Chandler, Gilbert, or Mesa that you’re after in 2023, we WILL be on top of what’s going on. Contact us anytime 🙂