Housing Market Update

Sales under $200K represented 46% of all MLS sales in August so the impact of strong price appreciation in this area is significant in overall market measurements. Another 29% of purchases made in August were between $200K and $300K.  The good news for buyers is that the supply of homes for sale in this range has risen 5.4% over the past 6 weeks.  The market is still hot, but not a frenzy like the lower-end.  As a result, prices are not rising as rapidly. Only 25% of August purchases were over $300K.  The market in this area is more balanced in supply and demand, creating a more stable price trend and equal negotiating power for both buyers and sellers. Above $500K price direction depends on the current fashion for of the various luxury locations. For example, Arcadia is definitely “in” while distant areas like Gold Canyon, Cave Creek and Desert Mountain are more neglected than usual, possibly because of the weakened demand from foreign buyers.

Information compliments of the Cromford Report