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Market Trends for February 2009
The listing count reported in the February Arizona Regional Multiple Listing Service (ARMLS) Reports was 42,242 - decreasing from 43,860 in January. This is a positive sign for the real estate market, since the supply of homes on the market is decreasing. The Median Price for single-family homes sold during February was $125,000, a decrease from $130,000 in January. The Median price for single-family homes on the market in February increased slightly to $199,900 compared to $199, 500 in January. The Average Price for single-family homes currently on the market increased slightly from $404,031 in January to $412,120 in February. this is another positive sign for the real estate market! The Median Price for single-family homes currently on the market decreased slightly from $130,000 in January to $125,000 in February.
The ARMLS Report reported 4,901 sales, increasing by 616 since January. This is another positive sign for the real estate market, since more homes are being sold. 1,630 homes were on the market between 1 and 30 days; 945 homes were on the market between 31 and 60 days; 753 homes were on the market between 61 and 90 days; 535 homes were on the market between 91 and 120 days; 1,038 homes were on the market more than 120 days.
Market Trends for 4th Quarter of 2008
The average price of homes was $214,700 for the fourth quarter of 2008 compared with $245,000 for the third quarter of 2008. There were 52,876 homes on the market for this quarter, compared with 52,582 homes in the previous quarter. This is likely to remain stable for the first quarter of 2009. 13,179 homes sold in the fourth quarter, compared with 15,420 homes in the third quarter. Approximately 794 homes were built, compared with 1,643 from the previous quarter. Homes, on average, were on the market for 73 days compared with 82 days for the third quarter.
Economic Monitor & Market Projections
Existing home sales declined 8.6% in November, with the national median price for an existing home also declining to $181,700. Housing inventory rose, unlike in the third quarter, with approximately an 11.2 months’ supply of homes at the current sales pace. Rising affordability, despite job losses, should help the sales of existing homes. New home sales continued to decline since so few new homes are being built; this number will continue to decline in part due to the economy and affordability. Given the overall large housing supply, further construction cutbacks in the building of new homes is likely in the coming months. In spite of a recession, housing affordability continues to improve! The rise in affordability was due primarily to a slight rise in the national median income per household, as well as a decline in the qualifying income for many loans. Interest rates should remain relatively low for most of 2009. Mortgage rates have been falling since November when the Federal Reserve announced a plan to purchase mortgage-backed securities in an effort to spur the distressed housing market. Unfortunately, the unemployment rate rose to 7.2% in December – the highest level in 16 years. The economic momentum and the fall in average work hours per employee in the last month suggest that more jobs will be lost in the upcoming months. Economic experts predict that there will be heavy job losses in the first quarter of 2009 followed by moderate job losses. The economy is officially in recession since the GDP declined at an annual rate of 0.5% from the third to the fourth quarter. Consumer and business spending continue to decline. Economic experts predict that a recovery will happen in the second half of 2009.
Market Trend Documents
This section contains useful forms for future buyers of a new home. Click on the link to download a printable PDF document. If you have any questions please contact us.
 ARMLS 4th Quarter 2008 Report
February 2009 Listings
February 2009 Total Homes Sold
February 2009 ARMLS Report
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