The Greater Phoenix housing market has been dominated by supply constraints for the last two years and it now looks as though this will continue for quite some time. The chronic shortage applies both to homes for purchase and homes for lease, though it is most severe for low priced homes i.e. under $200,000 for purchase. The most fundamental of the many drivers of the housing market is the balance between our population growth and the net number of homes added to the housing market supply.
For full article see: http://www.angjohnson.com/shortage-of-homes-to-sell-in-metro-phoenix-3-to-1/
With big price gains, waning investor interest, and plunging foreclosure activity, the metro Phoenix housing market was looking more “normal” this summer than it’s been for several years, according to a new report by Arizona State University. Even the number of buyers and sellers has finally begun showing some signs of balance after two years of a chronic shortage of homes for sale. But there is still much room for improvement, particularly in the new-home market where sales rates are still less than one third of what’s necessary to keep pace with the Valley’s current population growth
Phoenix seems to have finally recovered from the terrible market it was previously in, but are we just preparing ourselves for another housing bubble? Sources say no, as of now there are many more buyers searching for houses than there are houses available. There is a multitude of reasons why we have bounced back, such as; Lower interest rates, and people returning and wanting to live in the beautiful environment. Most importantly being the decrease from 56,000 homes on the market in 2008 to only 16,000 in the year of 2013.
