Balance is a word that hasn’t been associated with the Phoenix real estate market in a long time.
Phoenix real estate expert Tina Tamboer, who works for The Cromford Report, a Phoenix real estate resource that provides statistics and comprehensive market analysis, talked last week about a potential shift toward a more-balanced real estate market, news that many prospective buyers in Arizona have been hoping and waiting for.
“We have started to see a little bit of a shift in our sellers’ market,” Tamboer told That Real Estate Show, heard Saturdays at 3 p.m. on News/Talk 92.3 KTAR.
“It is still a sellers’ market, but we are starting to see a trend toward balance, which means prices are still going to go up as long as we’re in a sellers’ market. However, if you’re on the fence about selling, you may want to reconsider.”
Tamboer said she sees the quantifiable indications of this shift, as well as the anecdotal evidence from those in the field.
“Real estate agents are noticing more that they’re not getting a bunch of contracts in the first 15 minutes the property is listed,” Tamboer said. “Not a lot of multiple offers (are coming), depending on your price range.”
Tamboer’s comments come after another round of reports that highlighted rising home prices nationwide, especially in Western states like Arizona, which has seen a 17 percent increase year-to-year, according to the research firm CoreLogic.
Tamboer said she expects these increases to continue for the next three to six months, but not at the levels we’ve witnessed for the better part of 2013 — precisely why Tamboer recommends a sense of urgency for potential sellers in Phoenix.
“If you want to sell your property, you really want to sell it while you’re in a sellers’ market — while demand outstrips supply,” she said. “As we start to (head toward) balance, then you’re going to need to compete a little more.”
Competition could entail out-of-pocket costs such as kitchen or bathroom upgrades — something many sellers haven’t had to strongly consider due to the scarcity of available homes in Phoenix. Now, if Tamboer’s projections are accurate, sellers might have to work harder (or pay more) to set their property apart in a crowded and more competitive marketplace.
Nobody knows for sure when this shift will occur, but as Tamboer suggests, those who are in a position to sell might not want to wait to find out.
Listen for more Phoenix real estate news with realtors Diane Brennan and Rod Lakin on That Real Estate Show Saturdays at 3 p.m. on News/Talk 92.3 KTAR.