It’s been about six weeks in the making but here it is …
For the first time since the early spring, there are more than 8,000 single family detached homes for sale in the Phoenix real estate market.
What’s unexpected is the source – bank owned homes still make up less than 10 percent of the total market (there are 740 as of the moment) and distressed sales (REOs and short sales) only make up 18 percent of the market total.
What we’re seeing are a combination of investor flips – homes generally purchased at the trustee’s sale for quarters on the dollar, fixed up and returned to market – or sellers who have equity.
And yes, it’s possible to have equity if you’ve purchased in the past three years. For instance, down in Avondale in certain sections of the Rancho Santa Fe subdivision, prices now are above where they were in 2009 – I ran the numbers this morning for a client with a home there.
That’s a decidedly different story than what we’ve been discussing for years on end.
For those who have considered moving into something newer/bigger/upgraded, etc., it’s worth checking to see if you have equity in your home … and to do it now, as the slight rise of inventory could very well signal the slightest bit of slowing in the near future.