Market Update in Arizona September 2022
Our Arizona market overall is now “balanced”, with supply and demand meeting in the middle. This is quite a departure from the frenzy we have been used to for the past two and a half years. While some think that the market is going to “crash” and that prices will drop drastically, the data shows differently. It is helpful to compare this market to that of 2019: it is on track for where we should be and we should not use 2020 and 2021 as our standard of measurement.
Let’s use the analogy of driving at a high speed to help illustrate what our housing market has been doing. After speeding in the fast lane, pedal to the metal (the last 2.5 years), we have taken the foot off the accelerator (starting June of 2022) and deceleration is happening. This is not breaking (no crash), just a gradual slow down. Home VALUES are holding strong and overall home appreciation is still predicted to be a positive 10% by the end of 2022 nationally. Further, Arizona is in a uniquely positive situation with many still flocking to move here due to commercial and industrial growth from multi billion dollar investments by TSMC (Taiwan Semiconductor), Intel, Lucid, and many other companies both large and small. Our economy is robust and diversified, not over dependent nor over saturated with residential real estate as was the case in 2008, and builders/developers are still moving forward with large scale projects. All of these indicators provide reassurance that it is still a good time to buy and sell. In short, the law of supply and demand combined with growth and other positive indicators in our state point to a solid and safe real estate investment environment.
At Century 21 Toma Partners, we continue to excel in every market. Take a look at our numbers as they reflect the hard work our team puts into every relationship. We know the market and are making needed adjustments as we continue to serve with Value, Integrity and Service! And our results speak for themselves. Thank you for trusting us as one of your Real Estate referral partners. Here is how the Phoenix metro area is trending and how Century 21 Toma Partners compares overall:
Market Update • September 23, 2022