Consumers are spending again and that’s good news for the real estate market in the Valley.
Mike Sunnucks of the Phoenix Business Journal shared the news during his weekly visit to KTAR News 92.3’s That Real Estate Show. He pointed to an increase in new car sales, as well as strong showings from the Valley’s restaurant, retail and hotel industries, as signs of the recovering economy.
Sunnucks said with tourism up and population growth making a bit of a comeback, the Valley is trending toward a healthier real estate market — residential and commercial.
Proof of the rebounding economy is also showing up in increasing home prices, according to Tina Tamboer of The Cromford Report. Tamboer zoned in on a few zip codes here in the Valley that are doing very well in their median home sale price.
The Arcadia district, according to Tamboer, is one such example. She said Arcadia’s quarterly median home sale price is currently as high as it was when the district hit its price peak in 2006 — prices some thought would never be seen again. Tamboer said the luxury market, of which Arcadia is a part, is recovering alongside the economy. Homes in the Biltmore area and the Camelback corridor are also seeing an increase in median home sale prices.
Meantime, home buyers looking to purchase property under $300,000 might want to have some extra padding to secure their next home. Your Money Girl Kim Harland of Nova Home Loans emphasized how competitive the market is for homes in that price range and that sellers are not as willing to make concessions for closing costs as they did when home sales were down.
Multiple offers on homes are making it easier for sellers to reject contracts asking for concessions. Harland said getting pre-approved for a loan is one way buyers can prove to sellers they’re serious about their offers. She also pointed to the Maricopa County Home in 5 program, which helps buyers looking to purchase homes for $300,000 or less, with down payments and closing costs.
For more highlights, tune in to this weekend’s podcast on the That Real Estate Show website.
Join Realtor Diane Brennan for That Real Estate Show every Sunday at 8 a.m. on KTAR News 92.3.