Phoenix West Valley Real Estate Market Report for August 2018

September 8th, 2018

How’s the Market? Here is the August 2018, West Valley Market Report. High temps didn’t keep buyers away for finding their dream homes in Buckeye, incredible  26.7% increase in sales over last year! Goodyear had a 6.1% increase and Laveen was up 3.9% and Phoenix also increased sales over last year by 3%. El Mirage report -36.1% decrease in closed translation over  last year, however they also have the lowest amount of supply at only 0.97 months, making it incredibly hard to find a home so sale in the entire city right now. Other West Valley cities also report a decrease in closed sales over last year, Surprise -6.6%, Peoria -6.5%, Glendale -4.4%, Litchfield Park -3.0%. Maricopa county over all came in almost flat with last year at -0.1% compared to August 2017. 

 
Market Insights: Low amounts of homes for sale continue to be main factor in the decrease in resale homes. The lack of homes  for sale continues to drive the New Home sales market to double and triple digit increases in sales. We are starting to see incredible incentives from the builders, along with loan closing cost bonus to the buyers. Many of the new home builders have lots of quick move in, inventory homes without the long build time, really great deals on these homes!
 
Real Estate Myths: Since we are discussing New home builders, a common myth we were is that I don’t need an agent representing me, I am working with the sales rep in the models. Keep in mind, this sale agent works for the builder, to get them the most amount of money on the home. They are not looking out for your best interest. Just like purchasing a resale home, it doesnt cost you anything to have Buyers representation. In fact it may cost you more by not having a negotiator on your side. You need an advisor helping you through out the process, inspections, loan closing fees, upgrades you put into the home. Thats what we do for you, working with the sales agent only saves the builder commissions, it doesn’t save you anything and could be paying way to much. 
We are a full service real estate team, we would love to help you with all your real estate needs. Thinking of Buying or Selling, please give us a call we would love to help you!

Thinking of Selling? We Now Have Two Options! Introducing Offer NOW

August 22nd, 2018

You’ve seen the ads on television, and maybe you’ve seen the billboards around town offering sellers a no hassle, no showing, close when you want option to sell your home. These firms have been around the last several years and have raised millions from investors to create their footprint in multiple states. We’ve competed successfully with these companies as we know selling your home in a traditional method will net sellers more money, but let’s face it, these firms are obviously filling a need. Some sellers need to sell fast for whatever reason and allowing their home to sell for less money, or at a wholesale price is a viable option for them.

We now have an option for these sellers called Offer NOW! We will buy your home now, total convenience, no showings with a flexible move out date. If you are in the situation where you want to sell fast without showings, fixing things up etc. we might just have what you are looking for in this new option.

But perhaps, the biggest benefit of our service is that you will have both options. We can provide you an Offer NOW price and the traditional retail price. You can look at the prices and data and decide which is best for you. Or maybe you start with the traditional retail method to make more money and fall back on the Offer NOW program if or when you need to. The other companies can’t offer this flexibility.

So how do you get more info? It’s easy, simply follow this link to get additional information and fill out a simple form. We will crunch the numbers and let you know your options, what to expect, and the process involved. Of course there is no obligation, simply allow us to educate you on the options so you can decide what if anything is best for you.

Feel free to contact us via phone if you’d like to discuss a little more.

Common Myths about Real Estate

August 13th, 2018

Over and over again, we hear the same questions, statements and hearsay, well I would like to set the record straight on a few Common Myths of Real Estate. Some of these were covered in our “How’s the Market” West Valley monthly market update, so just incase you missed it, here are the top 5 most common myths of real estate all right here for you.

MYTH: Buyers Market is the Best time to Buy a home: Makes sense doesn’t it? After all in a Buyer’s market, sellers would be more motivated to give you a better deal right?!? While that may be true, its also true for all the other buyers purchasing, which means prices could be stagnant of depreciating. The real estate market is driven by supply and demand, low supplies cause price to increase, while high supplies drive prices down. So you buy a home in a depreciating market, month after month your home could be loosing value, why would you want to buy a depreciating asset? When you become a homeowner what you really want is stable increasing market, which would be a Sellers Market. Thats a much better feeling when the home you purchase 1 year ago is worth $20,000 more than you bought it for than $20,000 less.

MYTH: Buying through the Listing agent saves the Buyer money: When the listing agreement is executed, the Seller and Agent enter into a Fiduciary agreement in where through agency relationship, the agent agrees to put the sellers best interest first & get the most amount of money for the seller the market will allow. The Seller’s agree to pay a set amount of commission in the listing agreement. The listing agent agrees to pay the buyers agent a portion of that commission, which means if they sell you the home, they get all the commission. Which also becomes limited representation for both buyer and seller, so you have to ask yourself, if Buyer and Seller are getting limited representation and the agent is getting twice the amount of commission, who is really getting the best deal here? Do you think that agent is going to do aggressive comps and try to get the home for a better deal for you? What about repairs, who’s side are they on? What if the agent agreed to take less commission if he procures a buyer, thats just a savings for the seller, not you as a buyer.

MYTH: Solar Panels add Value:  Although this is what the solar companies use as a sales pitch, there is a huge caveat here, the panels must be owned, not leased in order to add value. I don’t recommend purchasing solar as an investment thinking its adding value, the added value is no where near the price of purchasing panels. The most I have seen on an appraisal was $10,000 for very large unit that the homeowner purchased for $45,000. On average there is an added value of about $5,000 on owned panels. Leased Panels, not only have no value, they could hurt value.  Several reasons, one being we see lots of damage to roofs, in many cases the Homeowners insurance will not cover. Many buyers don’t want to take over the contracts. Some buyers don’t qualify to take over lease payments, as they count against the buyers debt to income ratio where electricity does not. Probably the biggest reason leased solar panels hurt a property value is that it eliminates many of the buyers in todays market. Investors, Snow Birds and Buyers looking to buy their future retirement home will not want solar payments year round. As well as the aforementioned, buyers tight on debt to income ratios.

MYTH: Pools give $10,000-$20,000 Value: I always joke that selling pools is my summer job, however these days it seems year round, home buyers are wanting pools. The hottest commodity on todays market seems to be single level with a pool is in all sizes and price ranges, not to say that two stories with pools aren’t also highly requested, pools in the Phoenix market have a much higher return than you would think.  In fact when evaluating homes with pools, I try to use only comps with pools, because many buyers will only look at homes with pools. Check out a comparison in the MLS of some random size homes sold with and without pools and see for yourself. 

 

Surprise:

Single level, 2000 square foot, average price, without pool  $241,420, with pool $272,680 (+ $31,260)

Two story, 2800 square foot, average price, without pool $281,961 with pool $321,230 (+ $39,269)

 

Goodyear:

Single Level, 2400 square foot, average price, without pool $302,796, with pool $331,058 (+ $28,262)

Two story, 2800 square foot, average price without pool $282,053, with pool $317,710 (+ $35,657)

 

Peoria:

Single level, 2400 square foot, average price, without pool $350,261, with pool $429,833 (+ $79,572)

Two Story, 2800 square foot, average price, without pool $330,338 with pool $367,887 (+ $37,549)

MYTH: I can get the value of my home from an Auto Value site like Zillow’s Zestitmate: There are several reasons why you should not rely on automated evaluation. One reason is very simply, not all homes sales are reported to these sites. The county assessors office doesn’t share an internet data exchange with companies like Zillow. They rely mostly on agents to verify past sales. I can tell you that very few agents, report all the sales to Zillow. So you could have a higher end sales comparable in your area that isn’t even being factored into the equation. Another thing to consider is location within the neighborhood, for example one home backing to the main street might sell for less than interior lot. It could have sold for less because inferior view, curb appeal, repairs  were needed, stigmatized property, and many other things that determine a homes value can not be recognized by computer calculated system. Supply and Demand, perhaps your the only home with a pool, this might mean you could ask for more than your  neighborhood comps. We see poor quality photos, messy homes- untagged homes, less than desirable floor plan, limited showing availability to the property, cat urine, cigarette smoke, high selling season or slow market time, a lot of reasons that could have caused a home to sell for under market value and all these things can not be factored into an automated evaluation system. As your real estate professional we look for all these things in order to suggest a marketable price for your property, its not as simple as price per square foot and previously sold homes in your area.

Phoenix West Valley Real Estate Market Report by City- July 2018

August 13th, 2018

How’s the Market? Here is the July 2018, West Valley Market Report. What about this Monsoon season, Wow!! Recorded breaking temperatures, crazy Haboobs and strong winds knocking trees down all over town!! Got to love summers in Phoenix, on a positive note traffic is light and grocery store lines are short! Enjoy it folks! As kids head back to school we tend to see an up swing in the market and of course once the temps cool down in mid-September and winter visitors are back. 

 
However this month several cities saw a nice up kick already. Now keep in mind 30 day closings, so these are homes that most likely went under contract in June. Maricopa county had a 3% increase in closed sales over last year. Buckeye was booming with 20.3% increase, followed by Litchfield Park up 17.9%, El Mirage up 11.2%, Goodyear up 3.4%, Phoenix up 3.1%, Tolleson up 2.6%, Glendale 2.1% and Surprise, Peoria flat with last year. Couple of cities took a hit, Laveen -11.2% and Avondale -5.3%.
 
Inventory levels took a slight dip this month, listing should pick up also as kids go back to school. Median home prices in Maricopa are up 9.50% over last year. Litchfield Park leading the pack in the West Valley last month with an 18.90% increase, Peoria 14.50%, Goodyear 13.06%, Tolleson 12.44%, El Mirage 12.22%, Surprise 10.85%, Phoenix 9.65%, Glendale 8.0%, Buckeye 7.48%, Laveen 7.47%, and Avondale 4.65%.
 
Market Myths: Sellers market doesnt mean that we are experiencing another boom. Our buyers are still getting some great deals out there. Sellers are still paying closing costs and repairs. This is definitely not the market we experienced in 2005 Boom!! We are not going to experience a surge in home values. With all the new regulations on the appraisal industry, it has for lack of better words, “capped” home equity. Think of it as a safety net, steady increases, to keep housing in line with wages and cost of living. Stability. 
 
Market Insights: We are still seeing a lot of folks looking to retire to AZ in the next 2-5 years purchasing homes now. Locking in today’s home prices and interest rates to secure their future retirement home.  This is such a smart move for these folks, as they are not even making the mortage payments as our Property Management team is here to secure tenants for these homes. If this is something you’d like more information on call us today!!
Buying, Selling or Investing… we are your full service Real Estate Team.

Phoenix West Valley Real Estate Market Report by City June 2018

July 6th, 2018

How’s the Market? Here is the June 2018, West Valley Market Report. Unlike many other states, summers in AZ are typically a slower real estate market. Largely due to seasonal visitors looking for vacation homes, investment homes are not as abundant in the summer months. As temps heat up, sales tend to slow, unless of course your home has a pool! I always joke that June-August I sell pools, not homes! Inventory levels had a slight up tick last month in most cities, while others remained the same as the previous month. Maricopa county remained at only 2.38 months of inventory, same as July. An indicator of this increase could be attributed to low sales. Closed sales for June were down compared to last year in most West Valley cities, Laveen -23.%, Avondale -19.1%, Surprise -13%, Tolleson -10.8%, Peoria -6.5%, Phoenix -5.3%, Glendale -4%,  & El mirage -1.8%. Another contributing factor to low sales is the lack of homes for sale, for example, El Mirage, the fact that there are only 54 homes on the market in the entire city and sales were only down -1.8% is still a positive outcome. Maricopa County sales were down -4.0% over last year. A few cities saw some increases in closed sales, Goodyear was hot, hot hot with a 35.7% increase, Buckeye was 1.6% and Litchfield Park 1.3%. 

 
Decrease in transactions also brought a decrease in the median home prices in some West Valley cities, although nothing that would suggest a market bust, thats for sure. Year to date home values are still up over 2017. Median home prices dropped in Buckeye, Goodyear, Laveen, Peoria, Phoenix, and Tolleson. While others reported increase in median home prices, Avondale, El Mirage, Litchfield Park and Surprise.

 
MARKET INSIGHTS: The biggest trend we are seeing are buyers searching for single level homes with pools. All price ranges, all sizes, this seems to be the biggest request for home buyers. We are also seeing a lot of what I call “prepping for retirement home buyers,” folks retiring in the next 3-7 years and purchasing a home now to rent out until they retire. Wise move as they are securing a home at todays prices, todays interest rate, while having the tenants pay the mortgage. 
 
MYTH: As I previously joked, selling pools is my summer job, however these days it seems year round, home buyers are wanting pools.I would also like to dispel a common myth I hear all the time, that a pool gives only gives you $10-15,000 in value on your home. While that may have been true in the past, certainly not in todays market. Well as I mentioned a single level with a pool is todays hottest commodity, thats not to say that two stories with pools are also highly requested, pools in the Phoenix market have a much higher return than you would think. Check out a comparison in the MLS of some random size homes sold with and without pools and see for yourself.
 
Surprise:
Single level, 2000 square foot, average price, without pool  $241,420, with pool $272,680 (+ $31,260)
Two story, 2800 square foot, average price, without pool $281,961 with pool $321,230 (+ $39,269)
 
Goodyear:
Single Level, 2400 square foot, average price, without pool $302,796, with pool $331,058 (+ $28,262)
Two story, 2800 square foot, average price without pool $282,053, with pool $317,710 (+ $35,657)
 
Peoria:
Single level, 2400 square foot, average price, without pool $350,261, with pool $429,833 (+ $79,572)
Two Story, 2800 square foot, average price, without pool $330,338 with pool $367,887 (+ $37,549)
 
We are a full service real estate team, we would love to help you with all your real estate needs. Thinking of Buying or Selling, please give us a call we would love to help you!

Phoenix West Valley Real Estate Market Report by City- May 2018

June 8th, 2018

How’s the Market? Here is the May 2018, West Valley Market Report. Inventory levels in all West Valleys cities drop yet again, El Mirage sitting at only .087 months of inventory with only 47 home for sale. Other exceptions were Phoenix which only experienced a small increase, and Tolleson did see bit of a bump up. However all cities remain extremely low continuing the Sellers market as far as amounts of supply available to Buyers. Don’t be fooled, this is not another “Housing Boom” we are seeing nice steady increases in home values, federal regulations with the Appraisal industry and tighter lending guidelines is really helping to stabilize the market. 

 
Once again, even with scarce amounts of homes for sale, we have continued with some positive increases in sales over last year. Maricopa county finished May off with a 2.4% increase over last year. Buckeye reported an outstanding surge with a 22.8% increase over last year. Following Buckeye, was Surprise at 20% increase over last year, El Mirage, with 16.4% increase and Avondale at 14.8%. A few cities fell short of sales over last year, Goodyear -7.8%, Peoria -6.9%, Glendale -6.3%, and Laveen -6.3%, Phoenix was only down -1.3% while Tolleson was flat with last year.
 

We are still seeing historically low interest rates, making home ownership in Phoenix area very affordable. Our team is always asked, “When is the best time to buy a home?” The answer is always, “NOW!” LOL!! Why is that always our answer? Today the home prices are lower than they will be next year, and so are the interest rates! 

 
Why buy now when its a Sellers market? We get this question a lot. The answer is simple, in a seller’s market low supply means the home values are increasing, so your home is an appreciating asset. Your gaining equity with the market. In a Buyer’s market, there is an over supply of homes for sale, therefore the prices could dropping or stagnant in value. Why would you want to purchase a depreciating asset? 

 
Typically, July-August are the slower selling months, why? The seasonal visitors are not here to compete with in multiple offers, most folks choose to wait until the heat is back down before beginning their home search in the fall. August tends to slow as families prepare for back to school, therefore if your wanting to avoid multiple offers and find truly motivated sellers, give us a call we are here to help, no matter the temps outside!

Urgent Message to Pet Owners, Toad Kills More Dogs Each Year Than Rattle Snakes

June 4th, 2018

Urgent Message to Pet owners: Did you know that Rattlesnakes are not your Dogs worst enemy — Sonoran Desert Toad kills more dogs each year than rattle snakes. 

The reason I am sending out this warning is I did not learn about this toad for nearly 20 years after living in AZ. Of course I was concerned about scorpions, rattlesnakes and coyotes for my pets, but I was completely shocked to hear about this poisonous Toad that shares my same zip code. 

Unfortunately, I learned about this toad the hard way, we lost our 6 year old Weimaraner to this deadly toad. We had know idea what was wrong with her and thought she had an upset stomach, as she had a tendency to eat foreign objects and pass them later and be fine, that wasn’t the case and she was gone within 24 hours. I have lived in my home in Surprise, AZ going on 13 years, I had seen these Toads several times and never thought anything of it, we had no idea of the danger that lurked in our own backyard. 

Well the reason for this post, is that we found our puppies Sadie & TJ chasing one of these deadly Toad last night (June 3rd). Please note that this is the beginning of June, not Monsoon season, when they are most prevalent. As well as we do have a water feature in our backyard, so we clearly did not expect to find a Toad this time of year.

Thankfully my husband saw them chasing something and went out to check on them shortly after they went outside. They fortunately did not come in contact with the Toad. Sadie and TJ are just 7month old pups so they were more curious and didn’t try to bite at it which could have been deadly. 

These toads secrete the toxic chemical which is absorbed quickly and they can exhibit signs of almost immediately. If you believe your dog has made contact with this Toad, you should rinse their mouth with the water hose, carefully as much water as possible without chocking them. Watch for severe drooling, head shaking, pawing at mouth and eyes, hyperthermia (over heating), Difficulty breathing, vomiting or yellow fluid or any neurological signs. If any of these signs occur, get them to an emergency Vet right away. 

Also keep in mind that your dog could have the toxin on their paws, so we immediately washed Sadie & TJ’s paws to avoid them ingesting any toxin. 

These Toads are nocturnal, it is recommended to keep your water bowls up at night and give fresh water in the morning. 

Please share this information with anyone you know that may be new to the Valley of the Sun or any pet owner you know

Phoenix West Valley Real Estate Market Report by City April 2018

May 14th, 2018

How’s the Market? Here is the April 2018, West Valley Market Report. Inventory levels remain low, month after month as we seem to list the same amount of homes we sell each month. Despite low amount of homes for sale on the market, Mariaopa County had a 4% increase in sales over April 2017. Some West Valley cities saw a huge spike in closed sales with double digit increases, Litchfield Park led that boom with a 37% increase over last year. Buckeye followed with a 24.4% increase, Avondale at 15.3%. Only two West Vally cities fell short on closed sales last month Surprise -1.1% and Laveen -8.3%. Median home prices continue to rise in Maricopa county, which is up 9.35% for the year as compared to 2017. All West Valley cities are up including a few with double digit increases, LAveen 15.54%, Litchfield Park 14.35%, El Mirage 11.94 & Tolleson 10.60%. 

 
Stability is the name of the game in the Real Estate industry and we are definitely seeing that ring true in the Phoenix market. Low supply of homes for sale continues to drive homes values in a positive movement. However we do not want another BOOM—we all saw the BUST that follows that boom! However with current regulations on the lending and appraisal industry, you can rest assured that this is a secure market.

 

If you are looking to Buy, Sell, or Invest in the Phoenix area, we would love help you.

Phoenix West Valley Market Report by City- March 2018

April 17th, 2018

How’s the Market? Here is the March 2018, West Valley Market Report. Inventory levels dropped in ALL West Valley Cities, continuing a strong Sellers Market. El Mirage is at 1.05 months of inventory, followed Tolleson 1.2, Glendale 1.57, Avondale, 1.66, Laveen 1.73. Although buying and selling a home is typically  an emotional transaction, homes are still a commodity and the Real Estate market is driven on Supply and Demand. With extremely low supply of homes for sale, home prices will continue tone stable or increase, however these levels are considered extremely low and actually make it very difficult for some buyers to find a home. Some buyers are having to put offers on several properties before getting an accepted contract. Which means on that same home, there were several other buyers that did not get their offer accepted. Demand is very high right now in the West Valley, yet closed transactions last month were down in most cities, Laveen, -20.5% over last year, Avondale -13.2%, El Mirage, -13.%, Surprise -10.4%. To prove that point further, the 3 cities with the most amount of inventory did have increases in closed transactions, Buckeye 31.5% increase over last year, Litchfield Park 30.2% increase & Goodyear 12.8% increase.

 
Some market insides we are still seeing a lot of offers contingent on the sale of the buyers home, as people move they want to secure a home before the sell their current home. We are seeing multiple offers, however that does not mean bidding wars. Home priced at fair market value, and staged to sell, are selling first while others sit on the market. Once again, don’t be fooled that low inventory high demand means as a seller you can demand high prices, buyers are more consumer conscience than ever and are not paying more than the fair market value. Over priced homes are sitting on the market and we are seeing lots of price reductions on those properties  Buyers are still flooding in from California, Illinois, Indiana, Washington, Oregon and Nevada. Interest rates are ticking up with more increases expected by the year end. What are these buyers looking for, single level with pool seems to be the highest demand right now, followed by RV parking allowed by the HOA. 
 
If you are considering Buying or Selling, Investing & Second homes, we can help with all your real estate needs.

Phoenix Area Real estate Market Report by City February 2018

March 9th, 2018

How’s the Market? Here is the February 2018, West Valley Market Report.Extremely low inventory levels continue to drive home prices up in Maricopa County, as the median home price was up 9.57% for February 2018. Some West Valley cites reported double digits increases for the Month of February, Litchfield Park 23.60%, Surprise 16.04%, Tolleson 13.22%, and at Goodyear 11.16%. Sales were strong in the West Valley as all cities had an increase in closed sales over February 2017, sales were the strongest in Litchfield Park with a 28.9% increase in sales, Laveen 13.4% and Phoenix with the third highest at 13.7%. Inventory levels remain scarcely low with several cities with less than two months of inventory, Tolleson only has 1.5 months of inventory, Avondale 1.52 months, Glendale 1.73 months, and Laveen 1.84 months.

Some Market insights: We are still seeing lots of contracts contingent on buyers selling their home. Still experiencing multiple offers in certain areas and price ranges. Lots of folks moving in from other states, California and Chicago   seem to leading the pack. New homes sales are some of the highest we have seen in years, partly because the resale market inventory remains so low. Buyers expectations remain high, they want nice move, remodeled or updated homes, its definitely NOT 2005 when anything would sell with multiple offers. Homes that go on priced right, staged to sell, sell fast while others will just sit on the market. Interest rates expected to increase a few times through out this year, making NOW a great time to purchase your dream home.

We are a full service real estate team, we would love to help you with all your real estate needs. Thinking of Buying or Selling, please give us a call we would love to help you!

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